NVLink Lock‑In and On‑Prem AI Factories

Updated: 2025.12.02 3D ago 1 sources
Hyperscalers adopting proprietary high‑speed interconnect standards (NVLink Fusion) and offering 'AI Factories' inside customer sites creates a new hybrid model: cloud vendor‑managed, on‑prem AI infrastructure that ties customers into vendor‑specific hardware/software stacks. That model multiplies the effects of vendor standards on competition, data portability, and procurement decisions. — If this pattern spreads, governments and customers will need procurement rules and interoperability standards to prevent single‑vendor lock‑in and to manage grid, security and competition implications of embedded, vendor‑controlled AI infrastructure.

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Amazon To Use Nvidia Tech In AI Chips, Roll Out New Servers
BeauHD 2025.12.02 100% relevant
AWS announced it will adopt Nvidia’s NVLink Fusion for Trainium4 and offer 'AI Factories' in customers’ data centers; it also rolled out Trainium3 servers with 144 chips each and large efficiency claims.
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