OpenAI is partnering with Broadcom to develop custom AI computer chips, enhancing its capabilities in artificial intelligence. This collaboration, which will involve deploying new AI accelerators by late next year, follows OpenAI’s previous partnerships with chipmakers like Nvidia and AMD. While the financial details remain undisclosed, the alliance is part of a broader strategy that also includes partnerships with Oracle and CoreWeave for data center development.
As OpenAI, the creator of ChatGPT, continues to expand its AI infrastructure, concerns about an AI bubble arise due to the circular financing model, where partners both invest in and supply technology to the company. OpenAI currently does not profit, yet it boasts over 800 million weekly users for its chatbot. CEO Sam Altman stated that this custom chip initiative began over a year ago, emphasizing its importance in advancing AI to benefit humanity. Following the announcement, Broadcom shares surged 9%, reflecting market optimism.
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