Nvidia’s upcoming Blackwell data center processors are encountering serious overheating issues when housed in high-capacity server racks, according to a report from The Information. This overheating problem has resulted in necessary design changes for the server racks, leading to delays in the product’s shipping timeline. Major clients, such as Google, Meta, and Microsoft, may now face challenges in deploying the Blackwell servers as originally scheduled.

Insiders report that the Blackwell GPUs tend to overheat in ultra-dense servers, especially those containing 72 processors, each consuming over 1000 W of power. This heavy demand for power translates to significant heat generation in a tightly packed environment.

Nvidia is actively collaborating with suppliers and partners to develop revisions and effectively redesign systems to tackle the overheating concern. While such redesigns are not uncommon, they can unintentionally shift expected delivery dates, which originally targeted this quarter.

Rumors surrounding the Blackwell processors are not new. In August, reports indicated yield issues associated with the processor’s packaging design, which Nvidia and its manufacturing partner, TSMC, swiftly addressed and minimized during a quarterly earnings call.

As Nvidia prepares to report its earnings on November 20, there are mixed reactions to the company’s situation. A company spokesperson emphasized the advanced capabilities of the Nvidia GB200 systems, noting that their integration requires sharing engineering efforts with clients. Some partners, like Dell Technologies and CoreWeave, are actively promoting new designs at relevant events.

Anshel Sag, a principal analyst at Moor Insights & Strategies, remains skeptical about the severity of the overheating issues. He pointed out that many factors could contribute, suggesting that Nvidia would be unlikely to release a product suffering from overheating, especially given the cooling solutions already in place. Sag also raised the possibility that the timing of this news could be strategic, considering it coincides with the Supercomputing 24 conference, a high-profile event where industry rumors frequently circulate, potentially influenced by competitors eager to gain an edge amidst the discussions.

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