Ludwig Marx @LuMarx: "Another massive brick in the..."

Germany

Another massive brick in the AI wall. $NVDA (NVIDIA Corporation) secured a multiyear deal to supply $META (Meta Platforms Inc) with millions of AI chips, including Blackwell and the upcoming Rubin generation. Analysts estimate the contract could be worth up to 50B. The deal also includes Grace and Vera CPUs, which means Nvidia is not just selling GPUs anymore. It is attacking the data center stack that has long been dominated by $INTC (Intel) and $AMD (Advanced Micro Devices Inc) . What stands out to me: even though Meta is building in house chips and exploring alternatives like $GOOG (Alphabet) TPUs, it still locks in Nvidia for years. In AI infrastructure there is one rule. Scale wins. And right now Nvidia is the scale.