Sep 13, 2024 09:53 AM IST
Nvidia CEO Jensen Huang acknowledged emotional tension among customers due to a product shortage. High demand for their Blackwell chips has led to delays.
Nvidia CEO Jensen Huang said that shortage of his company’s products is making customers “emotional” owing to which things are tense. The tech boss said the demand for Nvidia’s products is so high because everyone wants to get them first which is making things tense with customers despite the company’s best efforts.
At a Goldman Sachs tech conference in San Francisco, Jensen Huang said, “We have a lot of people on our shoulders, and everybody is counting on us. Demand is so great that delivery of our components, our technology, infrastructure, and software is really emotional for people.”
Demand for Nvidia’s latest line of chips Blackwell has soared, he said, resulting in suppliers to which the company has outsourced hardware production still catching up.
He said, “We probably have more emotional customers today. Deservedly so. It’s tense. We’re trying to do the best we can.”
In August, Nvidia said that its next generation of AI chips Blackwell would be delayed by two to three months. The delay meant that shipments would be pushed to the first quarter of 2025 instead of later this year, affecting customers like Meta, Microsoft, and Google, which sparked concerns.
However, Jensen Huang promised in an earnings call last month that the company would ship out billions of dollars worth of Blackwell GPUs by the fourth quarter.
This comes as Nvidia’s stock slid 9.5% last week, shedding $278.9 billion in valuation — the biggest single-day loss ever recorded by a US company.