Nvidia's worst nightmare may be lurking inside Anthropic's IPO filing
Source: Business Insider ·
Anthropic's multichip strategy could weaken Nvidia's pricing power over time, though analysts say switching between AI chips remains difficult.
From the source
Nvidia CEO Jensen Huang.Joel Saget / AFP via Getty ImagesAnthropic is touting its ability to use different AI chips in its initial public offering filing.Analysts say a multichip strategy could weaken Nvidia's pricing power.Switching chips is hard and expensive, putting it out of reach for smaller players.Anthropic is hedging its bets by using multiple chips to handle its AI work — a strategy that could eventually erode Nvidia's dominance.The AI lab says it manages compute "as a single, fungible pool from multiple strategic partners" — with software that can direct its work to different chips depending on where they're most productive, according to Anthropic's S-1 filing, which came out Monday as the company prepares to go public.Anthropic says it uses hardware from four chip families: Amazon Trainium, Google TPUs, Nvidia GPUs, and AMD GPUs.That flexibility, which Anthropic said "took years and significant investment to build," could make major AI companies less dependent on Nvidia…