Claims they are "understating depreciation expenses by estimating that chips will have a longer life cycle than is realistic". Basically accusing Oracle and Meta of understating inevitable depreciation of AI chips by about $176 billion, causing inflated earnings reports.
just_fake_it3 weeks ago
This is actually an interesting question - how long will those $50,000 Nvidia GPUs actually provide value? The hardware will last for a few years at least, but with TSMC pumping out a new node every 18 months it's hard to say if running millions of those GPUs remains cost effective for more than a single generation.
Of course if none of the AI companies are turning a profit still, then I guess it doesn't really matter.
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Claims they are "understating depreciation expenses by estimating that chips will have a longer life cycle than is realistic". Basically accusing Oracle and Meta of understating inevitable depreciation of AI chips by about $176 billion, causing inflated earnings reports.
This is actually an interesting question - how long will those $50,000 Nvidia GPUs actually provide value? The hardware will last for a few years at least, but with TSMC pumping out a new node every 18 months it's hard to say if running millions of those GPUs remains cost effective for more than a single generation.
Of course if none of the AI companies are turning a profit still, then I guess it doesn't really matter.
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