OpenAI and Broadcom team up to create new AI chip to address GPU shortage

From CoinGeek: 2024-07-28 01:02:51

OpenAI is in talks with Broadcom to develop its own AI chip in response to a shortage of GPUs. The company aims to reduce dependency on third-party suppliers like Nvidia. The acquisition of VMWare by Broadcom is expected to enhance service delivery for both companies.

To address chip shortages, OpenAI is expanding its chip design team with former Google employees. The company is also exploring industry partnerships to establish its chip design unit. OpenAI is rapidly innovating and updating its generative AI offerings to stay ahead of competitors like Google and Meta.

OpenAI CEO Sam Altman is seeking investors to establish chip fabrication plants worth $10 billion. Industry leaders like SoftBank Group and UAE G42 are leading the fundraising efforts. Apple, Google, Samsung, and Meta are building their own chips to power their AI objectives and gain leverage in deals with suppliers.

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