Two ways to read this and I think both are somewhat true. Option one; They’re OPEC now. They set the supply, and you bring the demand because you have no other choice. This lets them push prices up, which pushes margins up, and that hopefully props up their insanely inflated share price a little longer. Option two; They’re well aware that demand is going to fall off a cliff soon. We’re already at “Nvidia is paying people to buy their GPUs” and have been for a while. The AI industry can’t afford to keep this train running, and even financial chicanery and circular dealing will only get them so far. Companies are building out data centres with zero plan for how to make any profit from them. When the GPUs they have age out, they’re not gonna buy more, they’re gonna go bankrupt (allowing the banks to sieze the mountain of now worthless three year old burned out GPUs that they used as collateral). And there’s not enough venture capital left for new data centre builds. The genAI financial engine is reaching its peak, and Nvidia doesn’t want to be stuck with a mountain of production that no one wants to buy.

Let’s not forget AAA games are the games that use gpus the hardest gaming wise and they are bombing at record levels because they are deritive garbage and AA games are doing more with less. Add that to the AI bubble bullshit and it’s just a perfect storm.