Dell is cooked this year for reasons entirely outside their control. DRAM and storage/drive shortages are causing costs of those to go to the moon. And Dell's 'inventory' light supply chain and narrow margins puts them in a perfect storm of trouble.
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I can't wait for all the data center fire-sales when the whole "AI" boom goes bust. Ebay is going to be flooded with tech.
I think a lot of the hardware of these "AI" servers will rather get re-purposes for more "ordinary" cloud applications. So I don't think your scenario will happen.
What? No, this is a pretty relevant comment that is being directly caused by AI.
Consumer PCs and hardware are going to be expensive in 2026 and AI is primarily to blame. You can find examples of CEOs talking about buying up hardware for AI without having a datacenter to run it in. This run on hardware will ultimately drive hardware prices up everywhere.
The knock on effect is that hardware manufacturers are likely going to spend less money doing R&D for consumer level hardware. Why make a CPU for a laptop when you can spend the same research dollars making a 700 core beast for AI workloads in a datacenter? And you can get a nice premium for that product because every AI company is fighting to get any hardware right now.
It was RAM a couple months ago, and it continues to be RAM. Major RAM manufacturers like SK Hynix are dismantling NAND production to increase RAM manufacturing, which is leading to sharp price increases for solid-state storage.
leptons|1 month ago
aleph_minus_one|1 month ago
I think a lot of the hardware of these "AI" servers will rather get re-purposes for more "ordinary" cloud applications. So I don't think your scenario will happen.
dude250711|1 month ago
cogman10|1 month ago
Consumer PCs and hardware are going to be expensive in 2026 and AI is primarily to blame. You can find examples of CEOs talking about buying up hardware for AI without having a datacenter to run it in. This run on hardware will ultimately drive hardware prices up everywhere.
The knock on effect is that hardware manufacturers are likely going to spend less money doing R&D for consumer level hardware. Why make a CPU for a laptop when you can spend the same research dollars making a 700 core beast for AI workloads in a datacenter? And you can get a nice premium for that product because every AI company is fighting to get any hardware right now.
kristianp|1 month ago
soupfordummies|1 month ago
stonogo|1 month ago