$ETH
Amazon packaged and sold $8 billion worth of NVIDIA chips
Then rented them back to use
Jensen Huang looked at it and exclaimed, “Awesome.”
Damn it.
Brothers.
Last night, Amazon pulled some slick move
Leaving people totally baffled.
According to reports,
Amazon plans to use a special purpose vehicle (SPV)
to sell about $8 billion worth of NVIDIA AI chip assets
to external investors,
then rent them back and continue using them itself.
So you tell me—how awesome is this?
It’s like
selling your house to someone else
but you still live in it.
This move by Amazon is still pretty brilliant.
The chips can be used for financing too.
Why do this?
The main reason
is to optimize the balance sheet.
High-end AI chip procurement costs a lot.
Buying a large amount of chips ties up massive capital.
By spinning off the chip assets,
external investors provide the money to hold them,
and Amazon only pays rent,
which helps ease the pressure on capital expenditures.
How exactly will they do it?
Set up an independent SPV vehicle to hold the chips.
The SPV issues bonds for financing.
Amazon plans to transfer up to 10% ownership of the vehicle,
and Amazon itself will no longer hold any SPV shares.
Once they do this,
the chip hardware remains in Amazon’s data centers,
and the compute supply won’t be interrupted.
Customers won’t be affected either.
This whole thing tells you something:
it shows that high-end AI chips are still hard assets.
Institutions are willing to pay to take over compute assets.
For the AI sector, this is an emotional tailwind.
It could also boost sentiment for crypto AI-related coins.
Old Huang has talked about this kind of approach before.
Didn’t expect Amazon to implement it so soon.
How incredible—truly off the charts.
#亚马逊拟售80亿美元英伟达芯片
Amazon packaged and sold $8 billion worth of NVIDIA chips
Then rented them back to use
Jensen Huang looked at it and exclaimed, “Awesome.”
Damn it.
Brothers.
Last night, Amazon pulled some slick move
Leaving people totally baffled.
According to reports,
Amazon plans to use a special purpose vehicle (SPV)
to sell about $8 billion worth of NVIDIA AI chip assets
to external investors,
then rent them back and continue using them itself.
So you tell me—how awesome is this?
It’s like
selling your house to someone else
but you still live in it.
This move by Amazon is still pretty brilliant.
The chips can be used for financing too.
Why do this?
The main reason
is to optimize the balance sheet.
High-end AI chip procurement costs a lot.
Buying a large amount of chips ties up massive capital.
By spinning off the chip assets,
external investors provide the money to hold them,
and Amazon only pays rent,
which helps ease the pressure on capital expenditures.
How exactly will they do it?
Set up an independent SPV vehicle to hold the chips.
The SPV issues bonds for financing.
Amazon plans to transfer up to 10% ownership of the vehicle,
and Amazon itself will no longer hold any SPV shares.
Once they do this,
the chip hardware remains in Amazon’s data centers,
and the compute supply won’t be interrupted.
Customers won’t be affected either.
This whole thing tells you something:
it shows that high-end AI chips are still hard assets.
Institutions are willing to pay to take over compute assets.
For the AI sector, this is an emotional tailwind.
It could also boost sentiment for crypto AI-related coins.
Old Huang has talked about this kind of approach before.
Didn’t expect Amazon to implement it so soon.
How incredible—truly off the charts.
#亚马逊拟售80亿美元英伟达芯片
