Nvidia's New Blackwell AI Chips Face Cooling Crisis as Heat Issues Persist

In a worrying turn of events, Nvidia's highly anticipated new Blackwell artificial intelligence (AI) chips have hit another snag just days after their initial launch. The accompanying servers that support these powerful processing units have been found to overheat, sparking concerns about meeting tight deadlines for new data centers to be rolled out.

According to sources familiar with the issue, which were revealed by Information, the Blackwell graphics processing units experience overheating problems when connected together in server racks designed to accommodate up to 72 chips. This raises serious questions about Nvidia's ability to meet demands for its cutting-edge technology and deliver on time.

The news comes as customers are growing increasingly anxious that they won't have enough time to bring online new data centers, which rely on the Blackwell chips, before their current infrastructure reaches exhaustion. As a result, any further delays could lead to significant losses of business and revenue.

It remains to be seen how long this cooling crisis will take to resolve, but one thing is clear: Nvidia's position in the AI processing market has taken another hit, leaving the company fighting to regain its footing.