Neoclouds that just buy power and GPUs will lose to software-first players, says Beam founder
edgarpavlovsky · x · 2026-10-11
Beam founder Edgar Pavlovsky argues a real neocloud must build software, not just procure power and fill sites with B300s. Spot GPU capacity is fundamentally a software product: platforms must shift workloads at scale, clean up between jobs, and solve orchestration problems.
Key points:
- Racks-only players may sell some capacity but will be blown away by software-first companies
- He's bullish on spot/serverless providers like Beam (sub-second cold starts, cross-cloud routing, memory snapshots up to 35× faster than traditional cold boots)
- Bearish on anyone "buying power and GPUs and calling themselves a neocloud"
He adds that the biggest winners of the next few years will be teams that merge the historically segmented software and hardware talent pools.
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