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AI firms struggle with GPU access amid rising costs

Yesterday

Recent research conducted by Civo has highlighted the ongoing challenges faced by AI and machine learning companies in accessing the necessary GPU resources. A significant 84.7% of organisations surveyed reported experiencing delays in their AI/ML projects due to GPU availability issues, with over a third facing delays of between three to six months.

Despite improvements in supply chain pressures since the pandemic, there remains an inconsistency in GPU access. This was compounded by a report from Bains indicating the problem could potentially worsen. The options currently utilised by AI companies include GPU resources accessed through cloud-based services (31.6%), hybrid cloud solutions (31.5%), or on-premises infrastructure (13.5%).

The financial burden associated with GPU resources remains a critical concern, with the survey revealing that 96.9% of respondents see high computational costs as a major limitation to their organisation's capability to leverage AI and ML.

Mark Boost, CEO of Civo, commented on this issue: "The transformative potential of AI is clear, but our research reveals that, for most organisations, the high costs and limited access to GPU resources are standing in the way of real innovation."

Further findings from the research showed that 74.5% of AI professionals expect a rise in GPU capacity requirements over the next two years. However, many firms are struggling to amass the resources needed to accommodate this expected growth. The principal challenges highlighted by companies in scaling AI/ML infrastructure include high infrastructure costs (54.3%), limited access to skilled personnel (43%), and high inference costs (40.3%).

Mark Boost elaborated, "For too long, the prohibitive costs associated with GPUs have been a bottleneck, forcing companies to put the brakes on projects that could otherwise drive industry-changing advancements. The benefits of Artificial Intelligence should not be solely reaped by companies large enough to both hoard GPUs and afford the energy costs of such scale."

In response to these challenges, Civo has taken steps to provide more affordable solutions. According to Boost, "At Civo, we believe there's a better way forward. Our commitment to providing affordable GPU rates opens new doors for organisations, enabling them to scale AI initiatives without breaking their budgets. We've seen cloud innovation be hindered by restrictive pricing, and we should not let the same happen with AI."

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