Re:$2 H100s: How the GPU Rental Bubble Burst
by neom on Friday October 11, 2024 @09:07AM
(#41809147)
This reads exactly like what people said about DigitalOcean when we launched it.
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Re:$2 H100s: How the GPU Rental Bubble Burst
by count on Friday October 11, 2024 @09:49AM
(#41809471)
To be fair, DO was muuuch sketchier in the past (eg https://news.ycombinator.com/item?id=6983097).
Launching any multitenant system is HARD. Many of them are held together with bubble gum and good intentions….
Re:$2 H100s: How the GPU Rental Bubble Burst
by neom on Friday October 11, 2024 @09:53AM
(#41809512)
Boy I'm never going to live that one down around here huh? Hackernews always going to keep you honest, ha. :D
Re:$2 H100s: How the GPU Rental Bubble Burst
by imglorp on Friday October 11, 2024 @09:41AM
(#41809416)
How was DO able to provide what AWS didn't want to? Was it purely margins?
Re:$2 H100s: How the GPU Rental Bubble Burst
by neom on Friday October 11, 2024 @09:52AM
(#41809499)
AWS just really didn't want to, very different market segment. They were doing a pure enterprise play, looking to capture most of the enterprise. We were doing a b2c play that we presumed over time would suck us up into the SMB. My theory was we had like 1% risk from them. From what I could tell Jeff and Jassy had zero interest in our segment. I left just before the IPO but when we started it, the margin was about 60%, after we figured out how many VMs we could comfortable fit on the box, Ben U just did napkin math and said "50% seems like a fine enough margin to start"