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Data Center News > Blog > Regulation & Policy > Nvidia AI chips are a ‘huge bottleneck’ but that doesn’t mean regulatory action, EU says
Regulation & Policy

Nvidia AI chips are a ‘huge bottleneck’ but that doesn’t mean regulatory action, EU says

Last updated: July 6, 2024 2:01 am
Published July 6, 2024
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Nvidia AI chips are a 'huge bottleneck' but that doesn't mean regulatory action, EU says
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European Union competitors chief Margrethe Vestager warned of a “big bottleneck” in Nvidia Corp. AI chips provide, however mentioned watchdogs are nonetheless making up their minds about what, if something, to do about it. 

“We’ve been asking them questions, however that’s actually preliminary,” she instructed Bloomberg throughout a visit to Singapore. That “wouldn’t” thus far “tick the field of being regulatory motion.”

Nvidia has drawn the eye of regulators since turning into the largest beneficiary of the bogus intelligence spending increase. Its graphics processing models — or GPUs —  are prized by knowledge heart operators for his or her capacity to crunch the huge quantity of knowledge required to develop AI fashions. 

The chips have grow to be one of many hottest commodities within the tech world, with cloud computing suppliers competing with each other to get entry to them. Nvidia’s in demand H100 processing models have helped them acquire a market share of above 80%, in keeping with estimates, forward of rivals Intel Corp. and Advanced Micro Devices Inc. 

Regardless of the availability squeeze, Vestager mentioned that secondary markets within the provide of AI chips may assist to spark innovation and truthful competitors.

However she mentioned firms which are dominant may face sure restrictions on their conduct sooner or later. 

“If in case you have that type of dominant place within the market, there are issues that you just can not do {that a} small firm can do,” she mentioned. “However apart from that, so long as you do your enterprise and are respecting that, you’re good.”

See also  New data-centre partnership gives Microsoft access to Nvidia chips
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