Software Pushes The AI Pareto Frontier More Than Hardware
Modern AI has introduced a new generation of people to curves showing the Pareto frontier, which represents the tradeoff between different factors.
The Pareto frontier has been used by notable figures, such as Nvidia's co-founder and CEO, to describe the tradeoff between AI inference throughput and response time performance.
Vilfredo Pareto, an Italian mathematician, civil engineer, and economist, created the 80-20 rule, observing that 80 percent of the wealth in Italy was concentrated in the hands of 20 percent of the population.
This concept is driving the modern economy and has been a key topic in recent discussions, including the GTC 2025.
Author's summary: AI development relies on software advancements.