Nvidia-Fueled Neoclouds Drive GDT's Success

The acquisition of GDT by Softcat has given the UK solution provider a strong foothold in the US systems integration market. Chris Kapusta, an executive at GDT, attributes their success to a combination of 30 years of system integration experience and Nvidia's financial support for customers. GDT has tapped into the neocloud gold rush, selling AI infrastructure and related services to around 20 neoclouds.

The neocloud market is expected to represent 20% of the $267 billion AI cloud market by 2030, according to research firm Gartner. Nvidia's investments have played a significant role in helping these neoclouds gain access to AI systems and facilitating deals with GDT. Kapusta credits Nvidia for providing the necessary financing for some of these neoclouds.

Nvidia has been expanding its financing activities over the past year, including complex arrangements where GPUs are treated as an 'investable asset' and the vendor provides a financial backstop to help customers finance AI infrastructure purchases. While none of GDT's neocloud customers have entered such arrangements with Nvidia, some are in early discussions.