OpenAI can spend Nvidia: They are in talks with Broadcom to develop chips!

OpenAI plans to end its reliance on Nvidia for chip supplies and is currently in talks with Broadcom to develop its own AI chip. The company, which is entirely dependent on Nvidia’s industry-leading GPUs to train and run its powerful AI models, aims to make this significant shift.

OpenAI’s CEO, Sam Altman, officially announced this development, emphasizing the company’s strategic move towards greater autonomy in its hardware resources. Here are the details…

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A partnership with Broadcom is seen as a logical step for OpenAI. Broadcom has significant experience designing chips for custom AI models, having worked specifically with Google on its tensor processing unit. Broadcom also has expertise in building custom ASIC solutions.

It seems unlikely that OpenAI will immediately compete with Nvidia’s technological superiority. According to the most optimistic estimates, it will not be possible for the company to produce a new chip before 2026. However, the company is looking for ways to become more self-sufficient in its quest for general AI.

By opening an office in Japan earlier this year, OpenAI aims to generate new revenue models and reduce its foreign dependency. The company is also partnering with institutions such as Khan Academy and Carnegie Mellon to develop personalized learning experiences using AI.

OpenAI CEO Sam Altman also stated that there are multiple manufacturers besides Broadcom that they are in talks with. In this sense, OpenAI may not end its partnership with Nvidia immediately, but it is clear they want to send a message to the giant technology company.

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