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ChatGPT-owner OpenAI is exploring making its own AI chips

Oct 06, 2023 - reuters.com
OpenAI, the company behind ChatGPT, is reportedly considering making its own artificial intelligence chips and has even evaluated potential acquisition targets. The company has not yet made a decision, but has been exploring various options to address the shortage of expensive AI chips it relies on. These options include building its own AI chip, collaborating more closely with other chipmakers like Nvidia, and diversifying its suppliers. CEO Sam Altman has made acquiring more AI chips a top priority due to the shortage of advanced processors and the high costs associated with running the necessary hardware.

If OpenAI decides to develop its own AI chips, it would join tech giants like Google and Amazon who have sought to design their own chips. However, this would be a significant strategic initiative and a costly investment. An acquisition could expedite the process, as it did for Amazon with its acquisition of Annapurna Labs in 2015. Regardless of the decision, the process is likely to take several years, leaving OpenAI dependent on commercial providers like Nvidia and Advanced Micro Devices in the meantime.

Key takeaways:

  • OpenAI, the company behind ChatGPT, is considering making its own artificial intelligence chips and has even evaluated a potential acquisition target to achieve this.
  • CEO Sam Altman has made the acquisition of more AI chips a top priority for the company due to the scarcity of graphics processing units and the high costs associated with running the necessary hardware.
  • Developing its own AI chips would put OpenAI among tech giants like Google and Amazon who have sought to take control over designing the chips that are fundamental to their businesses.
  • Even if OpenAI decides to build a custom chip or acquire a chip company, the process is likely to take several years, leaving the company dependent on commercial providers like Nvidia and Advanced Micro Devices in the meantime.
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