RealFeedApp NVIDIA funds startups to buy its own GPUs
A WSJ report alleges Jensen Huang directed NVIDIA to invest in AI startups buying its GPUs to manufacture data centers, creating an illusion of demand. CFO Colette Kress attempted to limit these circular financing agreements, but Jensen reportedly criticized her performance.
- Field
- business and funding
- What they did
- Nvidia allegedly funds AI startups to purchase its GPUs and build data centers, artificially maintaining the perception of high demand.
- Why it matters
- This strategy allows the company to move an oversupply of semiconductors from TSMC while preserving the image of ongoing high demand.
#nvidia#semiconductor#ai startup#supply chain#jensen huang#colette kress
