Clouds built for AI need more than just GPUs
With the global GPU shortage easing, cloud operators now face a different hurdle: turning racks of expensive hardware into cloud services customers can actually use. According to Red Hat, firms like Microsoft have locked in multi-billion-dollar deals with GPU providers, but running an AI cloud reliably and securely is far trickier than just buying the chips—performance, failures, and compliance rules all create new headaches.
- Microsoft signed $17.4B GPU deal with Nebius
- Tech giants use 'neoclouds' for extra GPU capacity
- AI cloud requires more security than standard clouds
- Performance depends on advanced networking, not just hardware
- Complying with global rules takes longer than expected
Sources covering this
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