Software Pushes The AI Pareto Frontier More Than Hardware

Software Pushes The AI Pareto Frontier More Than Hardware

Modern AI has introduced a new generation of people to the Pareto frontier concept, which shows the tradeoff between different factors.

The Pareto frontier concept was famously used by Nvidia's co-founder and CEO to describe the tradeoff between AI inference throughput and response time performance during his GTC 2025.

Vilfredo Pareto, an Italian mathematician, observed that 80 percent of the wealth in Italy was concentrated in the hands of 20 percent of the population, creating the 80-20 rule.

This concept is driving the modern economy, with software playing a key role in pushing the AI Pareto frontier.

Author's summary: Software drives AI progress.

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The Next Platform The Next Platform — 2025-10-21

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