Nvidia CEO desires enterprises to consider ‘AI factories’, not information facilities

In Monday’s keynote speech at Nvidia’s GTC 2024 occasion, CEO Jensen Huang saved repeating the phrase “AI factory.”

“In the last industrial revolution, the raw material going into the factory was water,” Huang informed TechCrunch in an interview after the keynote. “And the product was electricity.”

He was evaluating it – turning uncooked supplies into one thing else that has worth – to the notion of information facilities, that are full cash pits. “A new industrial revolution is happening in these (server) rooms: I call them AI factories,” Huang mentioned. “The raw material that goes in is data and electricity. What comes out of this is data tokens. The token is invisible and will be distributed all over the world. It is very valuable.”

That distinction issues so much in a world the place Nvidia stands to achieve so much if it may persuade corporations to assume in another way in regards to the information middle and AI instruments. “Last time, data centers went into your company’s cost centers and capital expenditures. You think of it as a cost. However, the factory is a different thing. It makes money,” he mentioned. “A new look at the factory in the new world of generative AI.”