OpenAI, the owner of ChatGPT, is considering producing artificial intelligence (AI) chips to address the AI chip shortage.
Since last year, OpenAI has been discussing various options to solve the shortage of expensive AI chips. These options include OpenAI’s AI chip development, closer cooperation with other chipmakers including Nvidia, and diversification of suppliers beyond Nvidia, according to Reuters
OpenAI CEO Sam Altman considers buying more AI chips a top priority for the company. Recently, he publicly complained about the scarcity of graphics processing chips, a market dominated by Nvidia. The push to acquire more chips is tied to two major concerns Altman identified: A shortage of advanced processors for OpenAI’s software and the high costs associated with running the hardware needed for OpenAI’s software. the company’s AI model.
The effort to develop AI chips would put OpenAI in the company of large technology companies such as Alphabet’s Google and Amazon, which are seeking to gain control over the design and production of chips for businesses.
It’s unclear whether OpenAI will continue with its plans to develop custom chips. According to veteran experts in this industry, it will be a strategic initiative with an investment that could reach hundreds of millions of dollars each year. However, there is no guarantee that OpenAI will succeed in its efforts to produce its own chips. Acquiring a chip company could accelerate OpenAI’s process of developing its own chips, as did Amazon’s acquisition of Annapurna Labs in 2015.
Even if OpenAI moves forward with its custom chip plans, including acquisitions, the effort would likely take several years leaving the company dependent on suppliers like Nvidia and Advanced Micro Devices ( AMD) in the meantime.
Some major tech companies have been building their own processors for years, but the results have been limited. ‘s efforts to produce custom chips According to Reuters, Meta have encountered many problems, causing the company to scrap some of its AI chips. Facebook owners are currently working on a new chip that can support all AI models. Microsoft, the main investor in OpenAI, is also developing a custom AI chip that OpenAI is testing, according to The Information.
Demand for specialized AI chips has skyrocketed since ChatGPT launched last year. Smart chips are essential to train and run the latest generation of AI technology. Nvidia is one of the few chip companies that successfully produces AI chips and dominates the market. This company controls more than 80% of the global market for chips that run AI applications
