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The report says Amazon purchased Nvidia racks in advance but lacks power for deployment.

2 reports2 story updatesUpdated Oct 26 11:15

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According to internal emails seen by Business Insider, Amazon purchased approximately $5 billion worth of Nvidia GB300 server racks in advance, but some U.S. AWS sites lack sufficient power, so the hardware can only be temporarily stored in transit warehouses. The report says AWS alone is expected to receive about $5 billion worth of GB300 racks in August, with roughly another $3 billion added each month thereafter. This phenomenon, known as dark GPUs, is putting financial pressure on data centers; Amazon's second-quarter free cash flow turned negative for the first time since 2023, and capital expenditures this year are expected to be about $220 billion. There are currently no subsequent developments.

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Latest development · Report

Amazon has received large quantities of GPUs but cannot power them on, exposing the power bottleneck in AI compute expansion

Developments

1 confirmed developments

  1. Report: Amazon Procured Nvidia Racks Early but Lacks Power to Deploy Them

    Source:TechSpot

Reports and discussion timeline

Browse reports and discussion by time. Their evidence levels remain distinct.

Oct 26

  1. Semiconductor Industry Observer

    Amazon has received large quantities of GPUs but cannot power them on, exposing the power bottleneck in AI compute expansion

    Some Amazon Web Services (AWS) facilities lack sufficient power, and the already-delivered NVIDIA GB300 racks cannot be installed and started, so they can only be temporarily stored in transit warehouses. In August alone, AWS plans to receive GB300 racks worth about $5 billion, and in the future it will receive about $3 billion of similar equipment each month, but the company has no clear internal timetable for installation and deployment. Amazon's free cash flow over the past twelve months turned negative in the second quarter, and this year's capital expenditure is expected to be about $220 billion.

Oct 24

  1. TechSpot

    Amazon stockpiles NVIDIA GB300 servers but has no power to run them, exposing the power bottleneck of AI infrastructure

    According to internal emails seen by Business Insider, Amazon receives NVIDIA server racks worth billions of dollars each month; in August alone AWS expects to receive about $5 billion worth of GB300 racks, and thereafter about $3 billion more each month, but some US AWS sites lack sufficient power, so this hardware can only be temporarily stored in transit warehouses. This phenomenon, known as dark GPUs, is putting financial pressure on data centers; Amazon's free cash flow turned negative in the second quarter for the first time since 2023, and capital expenditure this year is expected to be about $220 billion.

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