• scruiser@awful.systems
    link
    fedilink
    English
    arrow-up
    7
    ·
    3 days ago

    Isn’t being a fall-man the point of Coreweave for Microsoft, NVIDIA, and everyone else using them as middle-man? They all theoretically have the ability to do the things Coreweave does in-house, but that would expose them to more risk if the bubble pops, so they have Coreweave take on the biggest part of the risk and draw in outside investor money?

    • froztbyte@awful.systems
      link
      fedilink
      English
      arrow-up
      4
      ·
      3 days ago

      they use them out of need not out of want: coreweave happened to have the silicon already because it was going to be mining crypto. and in a market where trying to get new silicon is a months-backlog problem…

      • scruiser@awful.systems
        link
        fedilink
        English
        arrow-up
        3
        ·
        3 days ago

        Oh, I had misunderstood their role in this. So they are more like someone that was already in place for other (scammey) reasons than anyone’s preferred partner or middleman? And they are critical enough to be a weak link that breaks first and brings everyone else down?

        • froztbyte@awful.systems
          link
          fedilink
          English
          arrow-up
          3
          ·
          2 days ago

          yeah, their business is as hot air as the worst around, but (at least within the US) there are vanishingly few places to get lots of high-end compute and they’re one of the only “free agents”

          zitron’s analysis about them included a bunch of details re financials and such