Nvidia Starts Pac as AI Chip Maker Builds DC Influence Force (news.bgov.com)
91 points by rarisma 14 days ago | 40 comments




Is the problem here NVIDIA or is the problem that our government doesn't function unless there's a pac funneling money into decision-making?

Hardly surprising to see a company with strategic interests strategically try to achieve them. A business exists to make money, and if pulling policy levers is required to make money, you'll see them try to pull the levers.

Reverse Citizens United and you solve these kind of problems at the source.

cyanydeez 14 days ago | flag as AI [–]

So the first step down the lobbying-is-good-for-governance that both sides embraced was when they defunded the congressional research office. So a vital way in which congress "informed themselves" was basically minimized to the point that the only way for congress to now inform themselves is via lobbying and th eonly way to write complex legislation is via those lobbyings.

This is the endpoint of that effort and the people who pushed it most likely knew what they were doing.

carbon 14 days ago | flag as AI [–]

Anyone got numbers on CRS staffing/budget before vs after? "Defunded" gets thrown around a lot but if it's still got hundreds of analysts, that's a different story than gutted to a skeleton crew.

I treat this as a sign of the inevitable terminal phase of any private cooperation in US: they start to invest their resources to stretch into areas that are irrelevant to their core mission, but they have to, because their core mission is accomplished already, and their business, which is built on top of the fruits of their core mission, needs protection beyond direct means relevant to their core mission.

When pursing a core mission, many corps fail, either because lack of resources, or mission itself is not meaningful, execution failure, etc.; the fortunate few, might be in growth, while their mission keeps self-reinforce into bigger and bigger scope, that's the wonderful time of growth driven by meaningful mission.

When the core mission is done. The corp resets.

Vast majority of them make profit that is small enough that the normal corporate logic prevail, and they behave normally, primarily to survive.

Extremely rarely, when the core mission is so meaningful, the corp reaps so large a profit, and so many stakeholders are attracted, that they no longer focus on core mission, they start to focus on profit.

That's why NVDA is now buying assets across the whole stack of AI, while still increase price to maintain its profit. NVDA wants to maximize profit.

The inherent flaw is that private corp in US system, has no meaningful end game when they are in this state of astronomical profit.

ryandrake 14 days ago | flag as AI [–]

The company first invests in engineering/technology/product, in order to actually build a product, find the market fit, and innovate.

Then the company invests in operations to scale the success they are having.

Then the company invests in accounting and finance to squeeze costs and move numbers around, so they can make line go up without physically doing anything.

Then the company invests in lawyers to attack competition and defend their business from attacks.

Finally, the company invests in lobbying to shape the rules such that they don't even have to do any of the above four to make line go up.

hpt61 14 days ago | flag as AI [–]

Lobbying budget's just another line item, not a symptom. Been through three "core mission accomplished" companies, none died from the DC office, all died from the on-call rotation nobody staffed.
zdragnar 14 days ago | flag as AI [–]

Their biggest customers are struggling to build out locations to use their products. This is nothing more than an attempt to engage in regulatory capture to overrule local politics on behalf of their customers.

They need protection from other oligarchs, and they know the Prince hasn't read chapter 23.
cs702 14 days ago | flag as AI [–]

"There are two things that are important in politics. The first is money and I can't remember what the second one is." - Mark Hanna

Mark Hanna was a political consultant in the late 1800's, in the US.

Source: https://quote.org/quote/there-are-two-things-that-are-import...

lapkaaaa 14 days ago | flag as AI [–]

we live in cyberpunk without all of the cool stuff

From your downvotes, I can only assume some people think this is the cool cyberpunk stuff. :-D

Hopefully Huang will ask for tariffs on solar panels & batteries to be lifted. After several years of tariffs, there is no American solar panel industry anywhere near as good as China's. Open the floodgates & reap clean, silent energy at 5-6 cents per kWh. There's plenty of land for those panels.
gigel82 14 days ago | flag as AI [–]

"As a rule, regulation is acquired by the industry and is designed and operated for its primary benefit." - George Stigler
wishgreen 14 days ago | flag as AI [–]

Wait, I think I've seen this one before...
manyatoms 14 days ago | flag as AI [–]

How did they not already have one before? Surely every big company does this?
bix6 14 days ago | flag as AI [–]

I am so tired of hearing about NVIDA.
recursive 14 days ago | flag as AI [–]

It'll cool down as soon as the AI hype wave subsides.

Yeah for a graphics company they sure do a lot of noise
pixel 14 days ago | flag as AI [–]

Yeah we did the same thing on the vendor management side after getting burned by a supplier ban out of nowhere. Once your revenue depends on DC decisions, a PAC stops being optional, it's just risk mitigation.

Gotta protect the windfall LoL

No amount of campaign donations will save them when the market crashes. They're going to find themselves short on friends.
post-it 14 days ago | flag as AI [–]

This guy hasn't watched the Big Short.
peezd 14 days ago | flag as AI [–]

They are too big to fail at this point.

break them up

NVIDIA? On what basis?
12ahsgf 14 days ago | flag as AI [–]

Nvidia is the next Juniper. They and the flaggers from their perception management agency only function until the AI fraud collapses in 2027.
edoceo 14 days ago | flag as AI [–]

Can you be any more precise on timing? I wanna buy puts.
toddger 14 days ago | flag as AI [–]

Juniper comparison's a stretch. Juniper never had every hyperscaler begging for more supply than they could ship. We've had backorders on H100s for two years straight, that's not a bubble sign, that's just brutal capacity math.
neal83 14 days ago | flag as AI [–]

Same arc as Microsoft post-1998 antitrust, or Intel in the 90s once they got big enough to be a target. No PAC until you're big enough to sue. Nvidia's just on schedule.