• Reflection secures immediate access to Nvidia's advanced GB300 graphics processing units under a new agreement, according to a person familiar with the matter.
  • The deal positions Reflection as a key early adopter of Nvidia's latest AI accelerators, potentially boosting its competitive edge in high-performance computing.
  • Nvidia shares edged up 0.8% in after-hours trading following the news, reflecting investor optimism about sustained demand for its cutting-edge hardware.

Immediate Access to Nvidia GB300

Reflection, a cloud computing and AI solutions provider, will get immediate access to Nvidia's newly unveiled GB300 series processors, according to people familiar with the matter. The agreement, terms of which were not disclosed, allows Reflection to integrate the chips into its data centers for AI training and inference workloads.

"This collaboration ensures that our customers benefit from the latest advancements in GPU technology," a Reflection spokesperson said in an email. The company plans to deploy the GB300s across multiple facilities starting this quarter.

Strategic Move in AI Hardware Race

The deal comes as demand for Nvidia's high-performance GPUs continues to outstrip supply. The GB300 series, announced earlier this month, offers significant performance improvements over its predecessor, the GB200, with enhanced memory bandwidth and energy efficiency.

"Reflection's early access could give them a competitive advantage in a market where compute capacity is a key differentiator," said an analyst at a major investment bank who declined to be named. The analyst added that the agreement likely involves volume commitments and pricing favorable to both parties.

Market Reaction

Nvidia shares rose 0.8% in extended trading, while Reflection stock jumped 3.2%. The move underscores the ongoing race among cloud providers and AI startups to secure access to Nvidia's most advanced chips, especially as export controls limit availability in certain regions.

Reflection did not disclose the financial terms or the number of units involved. Nvidia declined to comment beyond confirming the partnership. The agreement is expected to be finalized by the end of the month, though legal reviews are still underway, the people said.

Industry Implications

The deal signals Nvidia's strategy of deepening ties with mid-tier cloud providers, beyond the hyperscalers like Microsoft and Amazon. For Reflection, it could accelerate its expansion into AI-as-a-service, competing with larger rivals that have already deployed GB200 clusters.

Correction: An earlier version of this article incorrectly stated that Reflection would receive GB300S units. The company will receive GB300 chips. (July 27, 2024)