Nvidia’s new Blackwell AI chips, which have already been delayed are now facing issues with overheating servers.
As per Reuters, this has raised concerns among some customers to worry about enough time to set up new data centers.
The Blackwell graphics processing units overheat when arranged in server racks designed to hold up to 72 chips.
Meanwhile, the chipmaker has instructed its suppliers to modify the rack design multiple times to resolve the overheating issues.
A company spokesperson said in a statement, "Nvidia is working with leading cloud service providers as an integral part of our engineering team and process. The engineering iterations are normal and expected.”
Nvidia unveiled the Blackwell chips in March and initially planned them to ship in the second quarter.
However, delays have arisen that could affect customers such as Meta Platforms, Alphabet’s Google and Microsoft.
Nvidia’s Blackwell chip merges two silicon squares, each the size of the company’s previous model, into a single component that is 30 times faster speed for tasks like generating chatbot responses.
Additionally, Nvidia holds a dominant lead in the market for discrete desktop GPUs.
Not only this, Nvidia overtook Microsoft as the world's most valuable publicly traded company for one day in June 2024.
