How does a chip go from being an academic theory to a $10 billion R&D Project?
In: Technology
R&d encompasses a lot of stuff. Making one off chips is amazingly expensive, so having to test little changes would just rake up a lot of it. You need the engineers to design the chip. Create simulations or models. Even the software development for this a lot falls in this category. They also probably try lots of things that don’t go out, so all there exploratory and failures get rolled in. Hardware to do certain things also just cost stupid amounts of money sometimes. Like one piece of some hardware could cost millions alone, depending on needs.
Also don’t forget people cost money, and I imagine the people at nvidia cost a lot per an engineer like hundreds of thousand each, so if they have like 1000 engineers they probably have 10s of millions in cost there. They also could be fudging the numbers a bit with people that have unexercised stock, since there stock went up a stupid amount, and they definitely made millionaires out of some of there employees, they could consider that some how, if it’s just them saying shit in stage.
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