Comment by vlovich123
20 hours ago
Don’t mistake stock market performance for revenue. NVIDIA makes ~200B annually, same as what Apple makes from iPhones. It’s a big market but GPUs aren’t just AI.
20 hours ago
Don’t mistake stock market performance for revenue. NVIDIA makes ~200B annually, same as what Apple makes from iPhones. It’s a big market but GPUs aren’t just AI.
I'm purely talking in terms of revenue. There's a huge demand for AI systems from personal workstations to datacenter servers, and Apple was one of the few companies in the world in a position to build complete systems for it.
But for some reason Apple thought the sound recording engineer or the video editor market was more important... like, WTF dude? Have some vision at least!
Apple abandoned the pro video editor market many years ago with the trashcan mac pro - theyre "prosumer" only at best.
Some people at Apple see it. That’s why they added matmul to M5 GPU and keep mentioning LMStudio in their marketing.
Their rule of only releasing major software updates once a year in June is holding them back IMO. Their local LLM apis were dated before macOS/iOS 26 was even released. Just because something worked 20 years ago doesn’t mean it works today, but I’m sure it’s hard to argue against a historically successful strategy internally.
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Apple already seems to do pretty well when it comes to AI systems on personal computers. Datacenters simply isn't their business, it would need some major changes on their part. Also, AI is a bubble, it will burst eventually, and because Apple doesn't have the fist mover advantage Nvidia has, they have a lot to lose entering this market now.
Sound recording engineers and video editors will not disappear after the AI bubble bursts, and Apple is wise to keep that market. Bursting the AI bubble will not make AI disappear, it will just end the crazy cashflows we are seeing now. And in that regard, with the capabilities of their hardware, Apple is in a pretty good spot I think.
It is more important. Both for the customer base that actually buys Apple machines as well as the cache and mindshare of being used by the people that create American culture.
Even if Apple had an amazing GPU for AI it wouldn’t matter hugely - local inference hasn’t taken off yet and cloud inference and training all uses servers where Apple has no market share and wasn’t going to get it since people had already built all the stacks around CUDA before Apple could even have awoken to that.
$280b and growing 70% YoY.
$1t backlog in orders in next 2 years.
Those back log orders are wild! One does wonder that if the bubble collapses or more global upsets happen in that time, how many of those will ever be fulfilled? Reality might be not so impressive, but considering if it fell even 80%, that is still $200 B in revenue and that is huge.
Remember when a $1 billion valuation used to be a big thing? That is nothing compared with nowadays.
Just look at the price of H100 cloud rental prices. Demand is increasing.