@Midnight_Captl When AVGO up, market thinks AVGO is gaining more market share. Thus NVDA downs
When AVGO down, Hocks makes the market think the whole market is shrinking, so everything should be down including NVDA
This is what I think is happening now.
SASS now is the old hardware.
And hardware is the new SASS.
The hardware that iterates the fastest deserves the premium.
Which means new generation every year and programmable upgrades etc.
SpaceX has almost finished writing V1.0 of an in-house AI training stack in C that exact-maps to 220k GB300s with 800G NICs, making heavy use of pipeline parallelism and getting as close to bare metal as possible.
The potential speed improvement vs JAX for large training runs is over an order of magnitude.
Funny how people just assume hardware has to be cyclical and software has to be durable.
But back to first principles, there is no law of nature saying that.
If hardware becomes the scarce input for the most important workload in the world, its economics can become more durable than people expect.And if software gets commoditized, its durability can disappear faster than people expect.
$NVDA $MU
I wasn’t planning to share this, but it’s such a high-quality explanation of CPO that I have to.
Just watch it. You’ll regret it if you don’t.
https://t.co/Z5M3TvHH2B