Amazon Tries to Lure Cloud Customers Away From Nvidia

Amazon, like other cloud providers, makes money from artificial intelligence primarily by renting out servers powered by Nvidia’s AI chips to software developers and businesses.

But now, Amazon Web Services is trying to convince those customers to use servers powered by Amazon’s own AI chips instead, said Gadi Hutt, who leads business development at the company’s chip unit, Annapurna. Already, he said, technology firms that want alternatives to Nvidia, including Apple, Databricks, Adobe and Anthropic, are testing the latest Amazon AI chip and seeing promising results.