Why Do Tech Giants Tell Nvidia About Their AI Chip Plans?

Why Do Tech Giants Tell Nvidia About Their AI Chip Plans?

Ondřej Barták
Ondřej Barták
Entrepreneur and Programmer
1. 10. 2025
1 minutes reading · 4 views
Why Do Tech Giants Tell Nvidia About Their AI Chip Plans?

Amazon and Google regularly alert Jensen Huang, CEO of Nvidia, before publicly announcing major developments concerning their own artificial intelligence chips. This approach stems from the need to maintain good relations, as both companies rely heavily on Nvidia's graphics processors for their cloud services and large-scale AI projects. According to industry reports, this is common practice, ensuring that Huang is not caught off guard by competitors' moves.

People involved in these communications confirm that Amazon and Google give Huang advance notice because he "doesn't like being caught off guard" by rivals' new chip initiatives. These steps reflect Nvidia's dominant position in AI hardware. Although Amazon and Google are investing in their own solutions to reduce their dependence on Nvidia, they are careful not to damage this key partnership.

Dependence on Nvidia

Both companies use Nvidia graphics processing units (GPUs) for large-scale AI workloads in the cloud, making them sensitive to any disruption in supply or relations. Reports from various sources state that Amazon and Google "play by Jensen Huang's rules" to maintain access to these technologies. This deference to Huang reflects his influence across the industry, where Nvidia dominates the AI chip market.

For example, according to available information, companies such as Amazon and Google notify Huang in advance to avoid any tension. This allows Nvidia to prepare for potential changes in demand for its products. Industry sources emphasize that this practice is a sign of respect for Huang's role, as he is often described as a key figure in the AI world.

Source: tomshardware.com

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