Azeem Azhar

So the shift to reasoning models, that so-called test time compute, which started with OpenAI's 01, was really the start of the increase in the amount of tokens that we as end users would use.

It changed the compute workload.

What Jensen said in the last week is that as people move to reasoning models and using reasoning much, much more, they saw a 10,000 fold in the increase in compute demand from each user.

But at the same time, usage increased 100 times.

So that was a million fold expansion in compute demand in just two years.

And again, hold that idea in your head.

That's a million X in two years.

What other market could go out and serve that?

So the question to think about is, what does the next two years look like?

Does it look faster?

Or does it look slower?

The trillion-dollar backlog gives us the answer, tells us what NVIDIA's customers actually think.

They think, at the very minimum, it's going to be the same, quite likely more than that.

So in this changing market, as we move from a world where the compute is dominated by training and move to a world where there's a lot of inference, things do change.

And at the end of 2025, NVIDIA acquired a company called Grok,

G-R-O-Q.

It was founded by Jonathan Ross, who was the original designer of Google's Tensor processing units, which is Google's specialist chips for serving AI workloads.

He'd done that roughly a decade ago, maybe a bit longer.

And it was a big, slightly weird acquisition of about $20 billion.

People moved and IP was licensed.