Nvidia's Software Sales Struggle: Are They Selling Snake Oil?
Alright, let's get one thing straight: Nvidia's been riding high on the AI gravy train, and everyone's acting like they can do no wrong. Five trillion market cap? Give me a break. But behind all the hype, something smells fishy. Real fishy.
The "Comprehensive Software Story"—Or a Load of Bull?
So, Nvidia's internal emails are circulating, and guess what? Their sales team is struggling to sell their software. The emails talk about needing a "comprehensive software story" around Nvidia AI Enterprise (NVAIE). Comprehensive? More like incomprehensible, if you ask me. Nvidia's internal emails reveal a 'fundamental disconnect' with major software clients
What's NVAIE anyway? A "suite of tools that helps clients make their own AI apps." Sounds like they're trying to be everything to everyone. And when you try to be everything to everyone, you usually end up being nothing to anyone.
One email even admits to a "fundamental disconnect" with clients' legal and procurement teams, especially in "highly regulated industries." You know, like finance and healthcare – the important stuff. That's not a good sign, folks. Not a good sign at all.
I mean, are these sales guys seriously trying to convince hardened lawyers and procurement officers that this AI software is worth the risk? The risk of data breaches, lawsuits, and regulatory nightmares? Because let's be real, that's what's on their minds.
Forecasts and Fantasies
They're forecasting healthy software sales, supposedly. One chart shows stand-alone software projected to hit 110% of sales targets. Software sold alongside hardware? A measly 39%. So, they're pushing software separately from the hardware that made them famous? That seems...backwards.
It's like selling someone a Ferrari and then trying to upsell them on a set of tires from Wish.com. Doesn't quite add up, does it?
And get this: Nvidia AI Enterprise is supposedly going to hit 186% of its target. 186%? I'd love to see the spreadsheets they're cooking up over there. I bet those numbers are about as real as the metaverse.
Remember that time everyone thought Second Life was the future? Yeah, me too. This feels about the same.
The Real Sticking Point: Risk
The article mentions data security and indemnity obligations as sticking points in negotiations. No duh. Companies aren't stupid. They know that AI software is a black box. They don't know what's going on under the hood, and they sure as hell don't want to be on the hook if something goes wrong.
Nvidia wants higher damages caps... but they're "uncomfortable" with it. Offcourse they are. They want all the upside and none of the downside. That's how these tech companies always operate.
But wait a minute... Am I being too harsh? Maybe I'm just a grumpy old cynic who doesn't understand the magic of AI. Maybe this software is actually revolutionary, and I'm just too blind to see it. Then again, maybe I'm not the one who's blind.