$MSFT<\/a>‘s Satya is saying that compute is not the bottleneck, but energy and data center space is. In fact the problem he has is that he has a surplus of GPUs right now sitting which he can’t use (glut?).<\/p>\n He is also saying he doesn’t want to over buy one generation of $NVDA<\/a> GPUs.\u2026 pic.twitter.com\/Cn55Njzy2r<\/a><\/p>\n \u2014 Rihard Jarc (@RihardJarc) November 1, 2025<\/a><\/p>\n I mean, even the point is, what’s the secular trend? The secular trend is what Sam said, which is at the end of the day, because quite frankly, the biggest issue we are now having is not a compute glut, but it’s a power.<\/p>\n So if you can’t do that, you may actually have a bunch of chips sitting in inventory that I cannot plug in. In fact, that is my problem today, right? It’s not a supply issue of chips. It’s actually the fact that I don’t have warm shells to plug into.<\/p>\n Well, it’s clear that the race for a compute buildout has reached a point where companies like Microsoft cannot accommodate additional chips in their respective configurations. The underlying reason why Nadella mentions a power glut is that with each generation, NVIDIA’s rack-scale configurations have brought in massive power requirements, to such an extent that from Ampere to the next-gen Kyber rack design, rack TDPs are expected to increase by 100 times<\/a>.<\/p>\n When examining scaling laws and NVIDIA’s efforts to advance architectural capabilities, it is certain that the industry will eventually encounter a roadblock where the energy infrastructure will not allow for the expansion of data centers. And, by the statement from Microsoft’s CEO, the energy-compute constraint is already being witnessed. This is a concern being discussed by several experts; however, the efforts made to scale up the energy infrastructure are currently insufficient.<\/p>\n Would the lack of energy lead to NVIDIA’s chips not being sold? Well, Satya actually answered this, claiming that the demand in the short term is difficult to predict and is subject to how the supply chain progresses.<\/p>\n<\/p>\n Follow Wccftech on Google<\/a> or add us as a preferred source<\/a>, to get our news coverage and reviews in your feeds.<\/p>\n \t\t![\"NVIDIA](\"https:\/\/www.newsbeep.com\/au\/wp-content\/uploads\/2025\/11\/NVIDIA-GB300-NVL72-featured-728x410.jpg\")
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