OpenAI's Sam Altman raising billions to build AI chip empire: Report

OpenAI
(Image credit: OpenAI)

Sam Altman, chief executive officer of OpenAI, is reportedly raising funds to build semiconductor production facilities to make processors for artificial intelligence (AI) applications, reports Bloomberg. He believes that AI technologies will become pervasive enough to support their own semiconductor supply chain in the years to come. Naturally, this venture would compete against players like Intel, TSMC, and Samsung Foundry. 

OpenAI, which currently uses Nvidia's A100 and H100 GPUs for its popular Chat GPT service, has been exploring ways to develop its own AI processors for a while, according to a report published in October. Designing its own AI silicon would align with trends set by Amazon Web Services, Google, Microsoft, and many other hyperscalers, who prefer to build their own processors in addition to buying off-the-shelf products. 

The financial and operational scale of this project is substantial, to say the least. According to the report, the discussions with G42 alone centered on raising between $8 billion to $10 billion. The project's full scope and list of partners are still in the early stages of development, indicating the massive investment and time required to establish a network of such facilities. The report does not detail whether Altman plans to buy an established foundry to produce AI chips or build an all-new network of fabs catering to the needs of OpenAI and potentially its partners. 

Anton Shilov
Contributing Writer

Anton Shilov is a contributing writer at Tom’s Hardware. Over the past couple of decades, he has covered everything from CPUs and GPUs to supercomputers and from modern process technologies and latest fab tools to high-tech industry trends.