To boost profits, Nvidia starts selling entire AI servers over just the components for it, according to J.P. Morgan
- Alex Phan
- 3 days ago
- 1 min read
With the launch of Nvidia’s Vera AI platform for AI and HPC, Nvidia has decided to take a huge step and has decided to start selling fully assembled level 10 VR200 compute trays, with all the essential components of a server, including cooling and core components like the GPU, pre-installed, according to J.P. Morgan. This change will give Online Data Management less of a headache when it comes to installing important servers.
In the past, Nvidia has provided preinstalled servers with the GB200 platform, with a partially integrated server, the Bianca compute board with key components installed. However, this was considered a Level 7 to 8 integration, compared to a level 10 system that comes with the whole tray and everything, like the CPU, GPU, and cooling systems.
If this comes to be true, and Nvidia starts shipping L10 trays, which accounts for 90% the cost of a server. Although customers are still required to build the chassis, manage power management, install CDUs for rack cooling and perform testing, this will be a huge profit gain to Nvidia and possibly its stock, depending on the success of this move.
