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NVIDIA is in the process of gradually winding down its nascent cloud computing arm, DGX Cloud. Insiders with knowledge of the situation reveal that NVIDIA has scaled back its initiatives aimed at luring enterprises to adopt this cloud offering. The company now intends to primarily leverage the service for internal research and development endeavors. This includes facilitating its in - house researchers in areas such as chip design and the advancement of AI models. This strategic shift signals that NVIDIA is encountering sluggish demand within the cloud services domain. Specifically, AI developers have been reluctant to embrace DGX Cloud servers due to their steep price tags, which generally surpass those of conventional cloud service providers.
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