Nvidia Counter-Strikes AMD AI Gains with Massive Funding Push

A former AMD executive has warned that Nvidia is using its larger balance sheet and resources to counter the AI gains of AMD, echoing Intel's former playbook. Patrick Moorhead, who spent over 11 years at AMD, including as corporate vice president of strategy and corporate fellow, said Nvidia is leveraging its size advantage to stifle competition.

Moorhead compared the situation to his time at AMD when Intel would expand its offerings in response to AMD's technological progress. He noted that Intel's eventual decline resulted from its manufacturing technology and product designs weakening simultaneously.

Nvidia has recently announced partnerships with major financial institutions to establish financing platforms for AI factories and data centers, aiming to mobilize over $500 billion in third-party capital. This initiative could make it easier for customers to fund infrastructure built around Nvidia tech.