OpenAI, the company known for creating the AI chatbot ChatGPT, is reportedly exploring the idea of producing its own processing chips, considering the challenges posed by the global shortage of these expensive and complex hardware components.
According to a report from Reuters on October 5, individuals familiar with the matter have disclosed that OpenAI is actively considering the acquisition of an undisclosed chip-making company as a potential strategy to support its AI chip production goals. It’s important to note that OpenAI has not made a final decision on pursuing such an acquisition and is actively exploring various options to tackle the ongoing chip shortage.
In addition to the potential acquisition, OpenAI is also internally discussing alternative approaches to address the chip scarcity. These options include strengthening its collaboration with its current primary chip supplier, NVIDIA, and broadening its supplier base beyond its existing providers.
Earlier this year, Sam Altman, the founder and CEO of OpenAI, expressed his concerns about chip shortages affecting the company’s progress during a discussion with AI developers. Raza Habib, the CEO of AI firm Humanloop, noted in a now-deleted blog post that the shortage of GPUs (Graphics Processing Units) was causing delays in OpenAI’s short-term plans.
If OpenAI decides to proceed with its reported plan to develop its own chips, it will join a select group of tech giants, such as Google and Amazon, that have opted to bring chip production in-house.
Since the public release of ChatGPT in November of the previous year, there has been an unprecedented surge in demand for specialized AI chips. This surge in demand has driven up NVIDIA’s stock price, as companies eager to develop AI applications seek to acquire the costly computing hardware necessary for their endeavors.