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Amazon seeks to offload $8B of Nvidia chips to investors

80 points · 92 comments · wslh

  1. kingstnap · · focus · HN ↗
    > the deal that would move thousands of Grace Blackwell chips it is installing in US data centres into a special-purpose vehicle

    > The cloud giant will then lease the advanced AI chips back from the SPV

    I mean nothing is disappearing off the balance sheet. They have this lease agreement they will need to pay.

    I would watch for what they do with the freed up cash though. If they use these GPUs they already own as collateral to *double down* on buying more GPUs then we got some serious downturn risk building because its leveraged.

    Btw this is like 100% what Jensen was saying when he said gpu compute would be an "investable asset class".

    1. ActionHank · · focus · HN ↗
      And this lease agreement is perpetual right? Amazon can't just go and get a different set of hardware themselves or get another set of ignorant investors to buy the new hardware and leave these investors holding the bag?

      That lease agreement is hold up more hope than god here my guy.

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