An Nvidia executive revealed on Thursday that Nvidia will sell 1 million graphics processing unit chips (GPUs) to Amazon's cloud computing unit AWS by 2027, as well as a series of other products. Nvidia and AWS announced an agreement this week, and AWS will purchase 1 million GPUs from Nvidia, but did not disclose the specific time of the transaction. Ian Buck, vice president of hyperscale and high-performance computing at Nvidia, revealed on Thursday that sales will begin this year and continue until 2027.
This is consistent with the time frame mentioned by Nvidia CEO Jensen Huang. He recently said he expects overall sales of its Rubin and Blackwell series of chips to reach $1 trillion by 2027.
Nvidia and Amazon did not disclose specific financial terms of the deal. But Buck said the deal includes a variety of Nvidia chips, well beyond 1 million GPUs, including Nvidia's Spectrum networking chips and the Groq chip released this week. The Groq chip comes after Nvidia struck a $17 billion licensing deal with an artificial intelligence chip startup late last year.
Specifically, AWS plans to use Nvidia's Groq chip, along with six other Nvidia chips, to enable more efficient inference. Reasoning refers to the process by which an AI system generates answers and performs tasks on behalf of the user.
"Inference is hard, it's crazy hard," Buck said. "To be the best at inference, it's not something that can be solved by just one chip. We actually use all seven chips."
The deal also includes the deployment of Nvidia's Connect X and Spectrum X network equipment in AWS data centers. The move is significant because AWS data centers use custom network equipment that AWS has perfected over the years.
"They're certainly going to continue to do that," Barker said. “But we are now working with AWS to deploy Connect X and Spectrum X for important workloads and our largest customers in the AI space.”