Nvidia Haults Cloud Revenue-Sharing Deals Amid Antitrust Fears

Nvidia has paused some of its cloud revenue-sharing deals due to concerns over antitrust scrutiny. The company had introduced the initiative in July, where it would act as a financial backstop for companies setting up AI compute clusters in return for a share of the revenue.

According to reports from the Wall Street Journal, Nvidia has halted some of these initiatives, but not scrapped the program entirely. This move comes after Nvidia posted its Q2 earnings, which showed significant growth with revenue reaching $96.2 billion, up 18% from the previous quarter and 106% from a year ago.

Nvidia's new business model aims to provide access to AI compute resources for companies seeking to deploy large-scale clusters. The company has already partnered with several firms, including Firmus and Sharon AI, which have deployed thousands of GPUs in various locations.