Compute Scarcity

Altimeter’s Brad Gerstner views OpenAI’s partnerships with Nvidia and AMD cautiously, emphasizing the difference between announcements and actual hardware deployment. OpenAI’s pursuit of advanced silicon reflects the escalating demand for AI compute power and intensifying industry competition. Gerstner notes the world will remain “compute-constrained.” The AI hardware race between the U.S. and China is also highlighted, with concerns raised about Chinese AI firm DeepSeek’s potential government alignment and the need for increased compute capacity for U.S. firms like OpenAI to maintain competitiveness.