Gavin Baker

You're going to spend on Blackwell almost no matter what, because if you don't, you're afraid that you cede a big advantage to a competitor. If you're meta and you don't spend and Google spends and their AI is a lot better than yours, you're worried you may not catch up.

You're going to spend on Blackwell almost no matter what, because if you don't, you're afraid that you cede a big advantage to a competitor. If you're meta and you don't spend and Google spends and their AI is a lot better than yours, you're worried you may not catch up.

Yeah, that's already the case. But here, this is a brand new architecture, which is a lot. I mean, not only is it really different as we went through, it is a lot better. But I would say all these GPUs, they're hard to get them working at the beginning. Like right now, hoppers are finely tuned. Everybody knows how to work with them.

Yeah, that's already the case. But here, this is a brand new architecture, which is a lot. I mean, not only is it really different as we went through, it is a lot better. But I would say all these GPUs, they're hard to get them working at the beginning. Like right now, hoppers are finely tuned. Everybody knows how to work with them.

blackwell you know it's almost like you're you're skipping ahead you know it's like imagine each one of these gpus is a formula one car you know now you've skipped ahead 10 years in the future and you have to kind of learn how to drive that new formula one car and it takes a while till you drive it as well as the old one so any other thoughts gavin on the core weave ipo which will have happened by the time people listen to this episode yeah i would say you know the sentiment on x investors on x are pretty negative on core weave i think there's maybe a little bit of

blackwell you know it's almost like you're you're skipping ahead you know it's like imagine each one of these gpus is a formula one car you know now you've skipped ahead 10 years in the future and you have to kind of learn how to drive that new formula one car and it takes a while till you drive it as well as the old one so any other thoughts gavin on the core weave ipo which will have happened by the time people listen to this episode yeah i would say you know the sentiment on x investors on x are pretty negative on core weave i think there's maybe a little bit of

negativity in the market. They had to reduce the range, lower the price. And everyone is very convinced this is a commodity business, loads of debt, loads of CapEx, one really concentrated customer, and that they're completely undifferentiated. And I guess I would just make a point, which is, in America, if you can pick any category, any retail category, and if you can run 1,000 stores...

negativity in the market. They had to reduce the range, lower the price. And everyone is very convinced this is a commodity business, loads of debt, loads of CapEx, one really concentrated customer, and that they're completely undifferentiated. And I guess I would just make a point, which is, in America, if you can pick any category, any retail category, and if you can run 1,000 stores...

in 50 different states with different preferences and have those stores well-lit, clean, stocked by friendly employees with the right stuff in stock, you will create a business that is worth well over $10 billion. And that sounds easy, but very few companies have been able to do it.

in 50 different states with different preferences and have those stores well-lit, clean, stocked by friendly employees with the right stuff in stock, you will create a business that is worth well over $10 billion. And that sounds easy, but very few companies have been able to do it.

I think what may be underappreciated about CoreWeave is it's actually really hard to run these big training clusters. Everybody thinks it's easy, but to synchronize tens of thousands of GPUs where they're melting or cables are being unplugged and you lose a bunch of training data when it happens, I just think it's not...

I think what may be underappreciated about CoreWeave is it's actually really hard to run these big training clusters. Everybody thinks it's easy, but to synchronize tens of thousands of GPUs where they're melting or cables are being unplugged and you lose a bunch of training data when it happens, I just think it's not...

It may not be the commodity that everyone thinks it is, and it may turn out that it's much harder to do than people think.

It may not be the commodity that everyone thinks it is, and it may turn out that it's much harder to do than people think.

Yeah, the world was convinced AWS, well, a lot of the world was convinced AWS was a terrible business for the first few years. You know, when Microsoft announced they're going to transition to the cloud, it was very controversial because you go from a CapEx light model to a CapEx heavy model. So, you know, Wall Street consensus has been wrong before.

Yeah, the world was convinced AWS, well, a lot of the world was convinced AWS was a terrible business for the first few years. You know, when Microsoft announced they're going to transition to the cloud, it was very controversial because you go from a CapEx light model to a CapEx heavy model. So, you know, Wall Street consensus has been wrong before.

And I do think CoreWeave runs these big GPU clusters as well as anyone. And there aren't that many people on planet Earth who can run them well. And you know, it's kind of easy. You can just look at the NPV of their contracts and the asset value.

And I do think CoreWeave runs these big GPU clusters as well as anyone. And there aren't that many people on planet Earth who can run them well. And you know, it's kind of easy. You can just look at the NPV of their contracts and the asset value.

And so everyone, you know, who's kind of, you know, confidently putting out all the negatives here, like, I just think there are some offsetting positives that it's good for, you know, I think people to be aware of and consider. That's all.

And so everyone, you know, who's kind of, you know, confidently putting out all the negatives here, like, I just think there are some offsetting positives that it's good for, you know, I think people to be aware of and consider. That's all.