Cryptocurrency billionaire Jed McCaleb’s nonprofit organization, Voltage Park, has made a significant investment in Nvidia’s advanced chips, purchasing around $500 million worth. The organization aims to lease computing capacity to companies engaged in artificial intelligence (AI) projects. This move comes as a response to the shortage of AI chips in the market and the belief that the current ecosystem for machine learning is flawed.
Voltage Park, led by CEO Eric Park, plans to address the insufficient supply of AI chips by offering long- and short-term, cost-effective AI computing solutions. The organization has acquired 24,000 Nvidia H100 chips and intends to establish clusters of these chips in Texas, Virginia, and Washington. The deployment of all 24,000 chips is expected to be completed by February.
The demand for advanced AI chips experienced a significant surge after the release of OpenAI’s ChatGPT last year. Businesses have been rushing to secure these chips to power their AI endeavors, causing a shortage in the market. Voltage Park’s strategic acquisition of Nvidia chips is an effort to alleviate this shortage and provide affordable computing options for AI projects.
Jed McCaleb, renowned for his involvement in three prominent cryptocurrency companies—Mt. Gox, Ripple, and Stellar—is the driving force behind Voltage Park and its parent nonprofit, Navigation Fund. Given McCaleb’s success in the cryptocurrency industry, Voltage Park’s endeavor to lease computing capacity for AI purposes is expected to benefit from his expertise and resources.
Voltage Park’s financial results will directly contribute to Navigation, allowing the nonprofit to continue supporting innovative projects. It is worth noting that neither McCaleb nor does he operate or hold any position on the board of either the nonprofit or Voltage Park.
As Voltage Park prepares to deploy these chips and cater to the growing demand for AI computing, the industry eagerly awaits the increase in supply and the potential impact it could have on various AI projects. This move not only addresses the chip shortage issue but also presents an opportunity for businesses to advance their AI ambitions at an affordable cost.
By offering low-cost AI computing solutions, Voltage Park aims to revolutionize the current machine learning ecosystem. As they prepare to set up clusters of Nvidia AI chips across several locations, expectations are high for the positive change this strategic move could bring to the AI industry.