Nvidia bets $7B on Poolside to hedge GPU demand and fuel Nemotron AI
TL;DR Summary
NVIDIA is paying about $6B to license Poolside’s tech and investing $1B at a $12B valuation to hire Poolside engineers and accelerate the Nemotron open-weight AI model ecosystem, effectively hedging against potential dips in GPU demand and signaling a move toward becoming a buyer of last resort. The strategy coincides with expected price increases for Grace Blackwell GPUs and Vera Rubin systems, and it follows OpenAI/Anthropic‑like positioning amid a slower AI adoption timeline highlighted by Sam Altman.
- NVIDIA Becomes A Buyer Of Last Resort For Its Own GPUs By Earmarking $7 Billion For Poolside, Just As Sam Altman Admits He Was Wrong On The AI Timeline Wccftech
- Nvidia Is Spending $6 Billion to Build a Powerful U.S. Alternative to Chinese AI WSJ
- Nvidia to Pay Poolside a $6 Billion License, Tap Startup’s Staff Bloomberg.com
- SOURCES: Poolside Strikes $6 Billion Licensing Deal with Nvidia & Raises $1 Billion for Remaining Company at $12 Billion Valuation Newcomer | Substack
- Why Is Nvidia (NVDA) Using A $7 Billion Deal Structure Instead Of Buying? Yahoo Finance
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