How much will GPUs be worth? Concerns about profitability of 'AI investments' due to accelerated depreciation cycle
The global AI industry is facing concerns over the profitability of investments in artificial intelligence, with the residual value risk of Nvidia graphics processing units (GPUs) adding to these concerns. The rapid technological changes are shortening the depreciation cycle of GPUs, with some experts warning that the economic lifespan of these assets may be as short as 2-3 years.
According to a report by Data Gravity, the hourly rental fee for Nvidia's H100 chip has dropped significantly, from $8.0 in early 2024 to $1.70 in October last year and $2.75 in mid-September. Experts warn that the residual value of GPUs is uncertain and difficult to measure, posing a risk to companies that have invested heavily in AI infrastructure.
Written by urgent.news from Hankyoreh's report — not a translation of it. Machine-written — may contain errors; check the original before relying on it.
