Nvidia sells 1M chips to AWS
Nvidia agreed to sell up to 1 million AI chips and other products to Amazon Web Services by the end of 2027, cementing its role as a foundational supplier for cloud AI infrastructure. The scale of the deal underscores Nvidia’s leverage over enterprise AI capacity and cloud deployment timelines. (tipranks.com) (seekingalpha.com)
Ian Buck, Nvidia’s vice president of hyperscale and high-performance computing, told Reuters that shipments for the AWS arrangement will begin in 2026 and continue through the end of 2027. (uk.finance.yahoo.com)) Buck said the supply pact covers a broad stack beyond GPUs — naming Nvidia’s Spectrum networking chips and ConnectX/Spectrum X interconnects — and that AWS will also take Groq processors that Nvidia folded into its product lineup after a late‑2025 licensing deal. (uk.finance.yahoo.com)) At Nvidia’s GTC keynote on March 16, AWS publicly committed to deploying more than one million Nvidia GPUs across its global regions beginning in 2026, a rollout described in AWS and Nvidia press materials at the conference. (aws.amazon.com)) Industry coverage of Nvidia’s December 24, 2025 arrangement with Groq describes it as a non‑exclusive licensing and asset/hiring transaction valued at roughly $20 billion, with Groq executives moving to Nvidia to help integrate Groq inference technology. (cnbc.com)) U.S. senators including Elizabeth Warren and Richard Blumenthal have publicly queried the structure of Nvidia’s Groq arrangement and signaled interest in whether the deal was designed to avoid traditional merger review. (msn.com)) Financial markets registered a modest positive reaction after the disclosures, with reports saying Nvidia and Amazon shares edged higher in extended trading while analysts flagged that the multi‑year volume commitment secures demand but could complicate Nvidia’s pricing and margin dynamics. (ainvest.com))
