“A lot of people want local inference, and somehow they assume that like the problem is solved now because we are going to have open source models… But from a global allocation perspective, actually it's quite terrible to have everybody have a bunch of the world's limited supply of DRAM sitting in their own computer and being used 5% of the time. You want maximum utilization in the cloud if you're trying to deal with this very supply constrained environment. And somehow many people's intuition is the opposite of that.”

Oh, I think there are like all of these ways where the supply chain, it's just like super non-obvious. An example of this is people, a lot of people want local inference, and somehow they assume that like the problem is solved now because we are going to have open source models. We're going to be able to run them on our computers. And so we're not going to need all the stuff in the data center. But from a global allocation perspective, actually it's quite terrible to have everybody have a bunch of the world's limited supply of DRAM sitting in their own computer and being used 5% of the time. You want maximum utilization in the cloud if you're trying to deal with this very supply constrained environment. And somehow many people's intuition is the opposite of that.