AI Developers Stymied by Server Shortage at AWS, Microsoft, Google

Startups and other companies trying to capitalize on the artificial intelligence boom sparked by OpenAI are running into a problem: They can't find enough specialized computers to make their own AI software. The Information: A spike in demand for server chips that can train and run machine-learning software has caused a shortage, prompting major cloud-server providers including Amazon Web Services, Microsoft, Google and Oracle to limit their availability for customers, according to interviews with the cloud companies and their customers. Some customers have reported monthslong wait times to rent the hardware. "All the startups who are trying to get into this space...maybe they can get one [server] but there's no way they're going to get five," said Johnny Dallas, founder and CEO of Zeet, which sells software that makes it easier for engineers to run apps across multiple clouds. The server chip shortage is a frustrating hangup for software developers trying to build AI tools hinging on recent advancements in machine-learning models. These programmers, at small and big companies alike, are developing large-language models to make personalized writing coaches or search engines that respond to questions with written answers rather than links, similar to OpenAI's ChatGPT. Many others are licensing and augmenting software from OpenAI and its rivals to create specialized customer service chatbots and research tools for corporate employees. For instance, OpenAI software is helping Morgan Stanley bankers find the best locations to auction a work of art, based on the bank's myriad internal reports on art markets.

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