alt Hacker Newsnobody would scream circular financing because of this. it's only circular if those companies would then be investing (directly or indirectly) in nvidia.
this however does scream "manufactured demand" - if the terms of your financing dictates that the money is used to purchase your own product.
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aurareturn • today at 12:50 PM
nobody would scream circular financing because of this.
this however does scream "manufactured demand" - if the terms of your financing dictates that the money is used to purchase your own product.
Salesforce Ventures has invested $7b in more than 700 companies to boost its ecosystem.
I didn't see people calling this manufactured demand or circular financing.
It can also be a way to make the numbers look bigger for everyone...
Rather than sell a GPU at $500, instead you put the price up to $2000 but then invest in a startup on condition 80% of the investment is used to buy your hardware at inflated prices.
Arguably this is what's happening to 'datacenter' GPU's which are far more expensive than consumer ones for similar performance.