GPU shortage repeats: Microsoft and other cloud providers tighten supply, AI startups face 32% increase in chip rental prices

CryptoWorld News reports, AI Aunt reports, GPU shortages recur, Microsoft and other cloud providers tighten supply, AI startups’ chip rental prices increase by 32%, and face queues until the end of the year. Several AI startups have reported that cloud providers like Microsoft and Amazon are concentrating GPU computing power on internal teams and large clients (such as OpenAI, Anthropic), while small and medium clients face price hikes and more stringent contract terms. Microsoft Azure sales management has informed that GPU wait times for cloud customers are expected to continue until the end of 2026. Image generation startup Krea rented hundreds of Blackwell chips at $2.80 per card per hour six months ago, and renewed at $3.70 per hour, a 32% increase. Will Falcon, CEO of Lightning AI, revealed that the company has 40k GPUs online, but about 40 clients are in queue, demanding a total of 400k GPUs, with rental prices increasing over 25% in half a year. Microsoft implements tiered management for GPU access, prioritizing approximately 1,000 largest clients; small clients must commit to renting at least 1,000 units, with contracts starting at tens of millions of dollars. Some startups are beginning to consider purchasing GPUs themselves to avoid queues and uncertainties.