Nvidia has agreed to sell one million GPUs to Amazon Web Services, with deliveries starting in 2024 and extending through 2027. The deal also includes Spectrum networking chips and Groq chips. Nvidia’s executive stated the partnership aims to optimize AI inference workloads using a combination of seven chip types.
Nvidia has agreed to sell one million graphics processing units to Amazon Web Services, with deliveries beginning this year and extending through 2027. The deal encompasses a broad array of chips and networking equipment beyond just GPUs.
Ian Buck, Nvidia’s vice president of hyperscale and high-performance computing, confirmed the timeline and scope of the agreement. “Inference is hard. It’s wickedly hard,” Buck told reporters, explaining that optimizing AI inference requires multiple chip types.
The partnership includes Nvidia‘s Spectrum networking chips and newly released Groq chips, obtained through a licensing deal with AI chip startup Groq. AWS plans to deploy a combination of Groq chips alongside six other Nvidia chip types for AI inference workloads.
This agreement follows a significant week for Nvidia, which included its annual GTC event and bullish affirmations from leadership. CEO Jensen Huang stated the firm’s revenue is likely to double to $1 trillion by 2027.
The long-term success of the deal will depend on Nvidia‘s ability to meet the multi-year, one-million-unit commitment. Early fiscal results in 2027 will indicate the financial impact of the AWS partnership on the company.
