Nvidia (NVDA), that stalwart of silicon, has cultivated an impressive circle of patronage among titans of the technology realm. Among its clientele, one finds overwhelmingly large figures such as Amazon (AMZN), Microsoft (MSFT), and the parent company of Google, Alphabet (GOOG) (GOOGL). However, Nvidia’s affections do not limit themselves to the bloated giants who loom above the industry.
Enter CoreWeave (CRWV)-the current darling of the GPU world, although one might rather imagine it as the scruffy debutante in a glittering ballroom. Nvidia has cast its gaze toward CoreWeave with a hefty, multibillion-dollar investment, clearly signaling that this charming new acquaintance has piqued its interest, at least temporarily.
As one might suspect, Nvidia harbors hopes for the success of all in its ambitious entourage. Yet one cannot help but ponder if its machinations have inadvertently favored the established Amazon, Microsoft, and Google at the expense of the relatively understated CoreWeave.
Nvidia’s Retreat
The year 2023 heralded the arrival of DGX Cloud, a platform trumpeted as providing enterprises with immediate access to Nvidia’s formidable AI supercomputers. The grandiose promise? Instant gratification in training generative AI and other cutting-edge models. However, much like a delightful soufflé, the venture now appears to be collapsing under its own weight.
Industry whisperers, such as The Information, allege that Nvidia has retreated to the bosom of DGX Cloud for its own elitist uses rather than the grand enterprise marketing once envisioned. Oh, the irony! A platform designed for the masses shifting to serve its creator exclusively.
Is there further evidence to support Nvidia’s apparent pivot? One might argue so. Historically, Nvidia has waxed lyrical about its DGX Cloud in its quarterly 10-Q filings as it charmed investors with promises of cloud expansion. Yet, in the second quarter of 2025, DGX Cloud vanished from the narrative like a rogue jester.
Instead, Nvidia now appears to focus its attention on the Lepton GPU rental marketplace. Not to be outdone in rhetorical flourish, CEO Jensen Huang presented Lepton as a lovely little liaison between global GPU cloud providers and the hopeful AI developers seeking salvation.
Helping the “Big Three,” Hurting CoreWeave?
Some industry analysts speculated that DGX Cloud was Nvidia’s grandiose entry to pierce the fortress of the leading cloud service providers. Rather contrary to that position, Nvidia has rented GPUs from CoreWeave to facilitate DGX Cloud’s performance. Thus, one might wonder: could Nvidia’s alleged retreat jeopardize CoreWeave while propping up the beached whales of Amazon Web Services (AWS), Microsoft Azure, and Google Cloud? The curt and enviable answer is “no.”
To add further irony, both Microsoft and Google graciously host DGX Cloud, while AWS has been decidedly absent. However, let us not be quick to cast aspersions upon Nvidia’s cloud offering; there exists scant proof of a detrimental effect on its business ventures.
Furthermore, CoreWeave stands unscathed. The resourceful company revealed Nvidia’s intent to procure $6.3 billion worth of its surplus cloud computing capacity through April 2032-a luxurious cushion of security amidst this cacophony.
Perhaps most audaciously, Nvidia may not be retreating at all. According to Data Center Dynamics, one Alexis Bjorlin, Nvidia’s own vice president and empress of DGX Cloud, asserts that “DGX Cloud is fully utilized and oversubscribed, and we are expanding its scale.” How delightful!
Winners All Around
Whatever Nvidia’s true agenda regarding DGX Cloud happens to be, I harbor no concerns for CoreWeave. On the contrary, I am optimistic that the entirety of these enterprises-Nvidia, Amazon, Microsoft, Alphabet, and CoreWeave-are poised for long-term success, regardless of the swirling narratives that envelop them.
The persistent AI boom shows no signs of waning, much to the delight of Nvidia, whose GPUs will be required in abundance. This ongoing demand augurs well for Amazon, Microsoft, Alphabet, and, yes, CoreWeave, as their cloud platforms flourish amidst the chaos.
Perhaps the momentum shall accelerate further still. Nvidia appears to be banking on such a notion, with plans for the Rubin CPX, a fresh class of GPUs primed for massive-context inference, slated for a grand unveiling in 2026. One can only imagine the delightful fallout of such a revolution.
In this curious game of corporate chess, CoreWeave, the smallest of the ensemble, might have the most lucrative opportunities ahead. Nonetheless, I am confident that the prospects for each of these top players will burgeon spectacularly over the decade and beyond, much like the proverbial phoenix rising from the ashes. 🦅
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2025-09-19 10:12