NVIDIA's CEO, Jensen Huang, has given some interesting statements regarding AMD's server GPU competition and GPU shortages in his latest interviews with Yahoo! Finance & The Next Platform.
NVIDIA CEO Says Competition In The Server Space Is 'Seriously Intense', Also Says GPU Shortages To Last Through Next Year
In the interview with Yahoo! Finance, Jensen has restated what everyone has been saying for a while, that GPU and component shortages are here to stay and will last till 2023. NVIDIA's CEO mentioned that they don't have any magic bullets to navigate through the current crisis that has affected literally every hardware and PC components. Even in 2022, the company expects demand to far exceed supply despite having full support from their suppliers and being multi-sourced.
“I think that through the next year, demand is going to far exceed supply. We don’t have any magic bullets in navigating the supply chain,” Huang told Yahoo Finance Live on Wednesday.
“We have the support of our suppliers. We’re fortunate that we’re multi-sourced and that our supply chain is diverse and our company is quite large so we have the support of a large ecosystem around us,” he added.
The second interview with The Next Platform is more interesting in the regard that Jensen talks about the competition's recently released Aldebaran GPU for the data center segment. Jensen is admitting that the competition within this segment is seriously intense and that every year, there's an 'NVIDIA Killer' of sorts, a name that people seem to use more often when comparing competing products. NVIDIA sees itself as the standard for the data center segment that other companies try to compete with and this is purely due to their immense lead in the AI segment.
However, this is also the easiest segment to compete within as NVIDIA's CEO states. Jensen puts it down to a simple equation of putting more FP64 flops and capacity into one bucket and slashing the overall price into another bucket, and that's basically it. AMD's Aldebaran MI250 series GPUs have been purely that according to Jensen but we should also remember that AMD is the first to MCM design, a GPU architectural design approach that NVIDIA plans to unveil during its next GTC in 2022.
Timothy Prickett Morgan: And now there is a two-year cadence in place for GPUs, DPUs, and soon CPUs as well that enterprises can count on.
Obviously, AMD is much more competitive with its “Aldebaran” Instinct MI200 series GPU accelerators than it has ever been. It is really two GPUs, not one, and I reminded everyone that AMD had “pulled a K80” by putting two GPUs on one device, but nonetheless, this GPU has won two exascale-class systems and many more smaller systems.
I realize that there will not be new GPU announcements from Nvidia until next year, based on the cadence, but what is your response to this competition from AMD, and soon, to a lesser extent, from Intel in the GPU compute arena?
Jensen Huang: First of all, we have competition all the time. So it is not true that this is the first so-called Nvidia killer that has come out. Every year there’s an Nvidia killer and people call it that.
Timothy Prickett Morgan: I mean in the upper echelon HPC and AI supercomputer space. For the past decade and a half, when it comes to GPU-accelerated supercomputers, you have been the whole game.
Jensen Huang: Actually, I think this is the absolutely easiest space, and let me tell you why. The reason for that is because an HPL machine needs two things – just two things. HPC centers order everything years in advance, so they have no idea what performance will be for any given device, but here’s the equation for you …
Timothy Prickett Morgan: Go ahead …
Jensen Huang: The number of peak FP64 flops and memory capacity, put those two things put into one bucket. And in the other bucket, put in dollars. That’s it. That’s the equation. And you know that …
Timothy Prickett Morgan: And so AMD decided to jack up the flops and slash the price? That’s what I think happened …
Jensen Huang: The question is how do we see the world, and the reason why competition is so intense for us. And it’s seriously intense. It’s not minor intense. It’s seriously intense. Accelerated computing is not for the faint of heart. So let me just prove it.
You can build the world’s best fricking everything-anything chip, you stick it into the computer, what will you accelerate? Absolutely nothing. Isn’t that right? Accelerated computing is insanely hard. And the reason for that is Moore’s law is insanely good. No one has ever looked at Moore’s Law, even at its reduced rate and said over the course of time, that is not one of the most formidable technology forces in the history of humankind. And yet, in order for us to succeed as a company, we have to deliver results well above Moore’s law.