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Why Is Everyone Moving Across the AI Stack?
Description
Why are AI companies moving across the stack?
Nvidia is moving toward developer platforms through Hugging Face.
AMD is moving toward model development through World Labs.
Cursor is moving upstream from the application layer toward the models and computation.
These moves all look like vertical integration, but the underlying economics may be entirely unique.
Nvidia may be trying to expand demand for compute. AMD may be trying to become a stronger competitor. Cursor may be trying to improve the application by controlling more of the technology underneath it.
This episode explores why firms integrate across the AI stack and why antitrust analysis should focus on what changes because of ownership—not simply on the fact that companies now operate at multiple levels.
Read the full article and graphic analysis: https://blog.econworks.com/p/why-is-everyone-moving-across-the?r=562wri
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