OpenAI announces Broadcom deal as spending spree continues

OpenAI, the company behind ChatGPT, announced a partnership with chip giant Broadcom to design and build its own specialized computer processors for Artificial Intelligence (AI), aiming to strengthen its leadership in the generative AI market. This collaboration, set to launch next year, is the latest in a series of recent deals, including those with Nvidia, AMD, and Oracle, as OpenAI, led by CEO Sam Altman, invests heavily in the immense infrastructure needed for AI. The custom chips are intended to be specifically tailored to OpenAI’s models, potentially making them faster and more powerful. While the financial terms of the deals remain unclear and some observers worry about a potential financial bubble, the announcement drove Broadcom’s shares up by nearly 10 percent. The partnership highlights the soaring demand for AI services and the significant power and resources required to meet the world’s growing computing capacity needs

Credit : CGTN