- AWS AI factories put Amazon/Nvidia hardware in customers’ own facilities
- They are designed to respond to strict data sovereignty/privacy requirements
- A return to on-prem has gained traction in an AI-driven era
Amazon Web Services has revealed more information about its AI factories – full-stack AI infrastructure that sits inside a customer’s own data center.
That means customers will provide the facilities and power where Amazon’s cloud division delivers and manages AI systems, in a way that compares AI factories to a private AWS region.
In addition to giving organizations more control over data sovereignty, security or regulatory requirements, it also ensures they have access to hardware options such as Nvidia’s Blackwell GPUs or Amazon’s Trainium3 accelerators.
AWS AI factories are shared-responsibility on-premise facilities
Why would a customer want to increase the pressure on themselves by becoming responsible for location and power? It’s simple – certain companies and governments want access to advanced artificial intelligence, but they are limited in the data they can send off-prem.
Building independent AI infrastructure is slow and expensive, but AWS says it can deploy these systems in months, helping customers avoid large investment burdens.
Since AWS manages the entire AI environment exclusively for one customer, data stays local and hardware will not be shared with others.
The shift to on-prem infrastructure is an interesting reversal from the cloud push we’ve seen in recent years, with companies largely concerned about sensitive data, AI training and national security.
“By combining NVIDIA’s latest Grace Blackwell and Vera Rubin architectures with AWS’s secure, high-performance infrastructure and AI software stack, AWS AI factories enable organizations to deliver powerful AI capabilities in a fraction of the time and focus solely on innovation rather than integration,” commented Hyperscale and HPC VP and IGM for Nvidia.
But Amazon is not alone in pushing the concept of AI factories. Microsoft has Azure Local to support sovereignty requirements that include Microsoft-managed hardware installed in a customer’s facility.
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