Cloud Computing for AI Systems from First PrinciplesPost 18 of 19 · 19 of 19 written

18. Glossary

Cloud · 18 of 194 min readOct 2026

The terms you will hear most, alphabetically, each with the part that explains it.

Term Meaning Part
All-reduce Every GPU contributes a tensor and all receive the sum; used to average gradients 11
ANN index Approximate nearest neighbor index (HNSW, IVF) that makes vector search fast at some cost in recall 6
Arithmetic intensity FLOPs performed per byte moved; decides whether work is memory-bound or compute-bound 4
Availability zone (AZ) Independent data center(s) within a region; the basic unit of failure 2
BF16 2-byte number format with FP32’s range; the default for training and inference 4
Blast radius How much breaks when one thing fails or one change goes wrong 13
Canary deployment Sending a small share of traffic to a new version before all of it 10
CIDR Notation for IP address ranges; /16 means 16 fixed bits 7
Cold start Delay while a new instance provisions, pulls its image and loads its model 3, 12
Continuous batching Requests join and leave the running batch at every decoding step 12
Control plane The APIs that create, change and permission resources 8
CUDA NVIDIA’s GPU programming platform and library ecosystem 4
Data gravity Large data is slow and costly to move, so compute moves to it 1, 7
DCGM NVIDIA’s GPU monitoring toolkit and metrics exporter 13
Egress Data leaving a cloud, region or zone; usually billed per GB 7
Envelope encryption Data encrypted with a data key, which is itself encrypted by a master key in a KMS 8
Error budget The failure your SLO permits: 100% minus the target 13
FinOps The practice of managing and attributing cloud cost 14
FSDP / ZeRO Sharding weights, gradients and optimizer state across data-parallel GPUs 11
Gang scheduling Starting all parts of a distributed job together or none at all 9
Goodput The share of time or requests that produced useful results meeting targets 11, 12
HBM High-bandwidth memory stacked beside a GPU; its main memory 4
Hypervisor Software that runs multiple VMs on one physical machine 3
IaC Infrastructure as code: cloud resources defined in versioned files 10
IAM Identity and access management: who may do what on which resource 8
Idempotency Doing an operation twice has the same effect as doing it once 13
InfiniBand / RoCE / EFA High-bandwidth, low-latency networks with RDMA for GPU clusters 4, 7
KV cache Stored attention keys and values for past tokens during generation 5, 12
Least privilege Granting only the permissions a task needs 8
LoRA / QLoRA Fine-tuning small adapter matrices on a frozen (optionally 4-bit) base model 5
MFU Model FLOPs utilization: achieved FLOPs divided by peak 5, 11
MIG Hardware partitioning of one GPU into isolated slices 4
NAT gateway Lets private machines make outbound connections; billed per GB 7
NCCL NVIDIA’s library for collective communication between GPUs 11
Neocloud A GPU-focused cloud provider such as CoreWeave, Lambda or Nebius 15
NVLink / NVSwitch NVIDIA’s direct high-speed GPU-to-GPU links inside a server or rack 4
Object storage Whole files stored by key behind an HTTP API, such as S3 6
OIDC federation Letting an outside identity (such as a CI job) assume a cloud role without stored keys 8
PagedAttention Storing the KV cache in fixed-size blocks to avoid fragmentation 12
Prefill / decode Processing the prompt in parallel (compute-bound) vs generating tokens one by one (memory-bound) 5, 12
Prefix caching Reusing the KV cache of a shared prompt prefix 12
RDMA / GPUDirect Network transfers straight into another machine’s (or GPU’s) memory without the CPU 4
Reconciliation loop A controller that keeps moving reality toward declared desired state 9
Region A geographic group of availability zones 2
Roofline model Performance is capped by either compute or memory bandwidth, depending on intensity 4
RPO / RTO How much data you can lose / how long recovery may take 13
SLI / SLO / SLA What you measure / your target / your contractual promise 13
Speculative decoding A cheap draft proposes tokens that the large model verifies in one pass 12
Spot instance Spare capacity at a deep discount that can be reclaimed at short notice 11, 14
Static stability Staying up during an outage without needing to create new resources 8
Taint / toleration Kubernetes marks that keep ordinary pods off special nodes such as GPUs 9
Tensor parallelism Splitting individual weight matrices across GPUs; needs NVLink-class links 11
TTFT / TPOT Time to first token / time per output token 12
vCPU One hardware thread, usually half a physical core 3
VPC Your isolated, software-defined private network in a region 7