Sam Altman says OpenAI needs way more AI chips—and he’s working to raise billions for a network of factories to make them

OpenAI CEO Sam Altman is reportedly seeking to raise billions of dollars for a global semiconductor manufacturing venture. Altman has been in talks with potential investors, including Abu Dhabi-based G42 and SoftBank Group Corp., to fund the creation of chip fabrication plants, or fabs, to address the anticipated shortage of chips for AI deployment. The project would involve collaboration with leading chip manufacturers and is still in the early stages, with a full list of partners and funders yet to be established.

Altman's fundraising efforts reflect his belief that the AI industry needs to act now to ensure sufficient chip supply by the end of the decade. The initiative is more costly than the strategy preferred by many of OpenAI's peers, which involves designing custom silicon and outsourcing manufacturing. The discussions with G42 alone were centered on raising $8 billion to $10 billion. Altman has also approached Microsoft about the plan, and the company has shown interest.

Key takeaways:

OpenAI CEO Sam Altman is seeking to raise billions of dollars for a global chip manufacturing venture, according to anonymous sources.
Potential investors include Abu Dhabi-based G42 and SoftBank Group Corp, with discussions also held with top chip manufacturers.
The project is driven by concerns that there won't be enough chips for widespread AI deployment, with current production forecasts falling short of projected demand.
Altman has also approached Microsoft about the plan, and the software giant is reportedly interested.

Sam Altman says OpenAI needs way more AI chips—and he’s working to raise billions for a network of factories to make them

Key takeaways:

Comments (0)

Newsletter