ChatGPT creator, OpenAI, is already on its way to produce its in-house artificial intelligence chips, as per Reuters exclusive report.
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OpenAI Explores Self-Production of AI Chips
According to Reuter's data, the company is already evaluating its potential acquisition target. However, the company has yet to decide its other moves. The company has been discussing various solutions to the shortage in the supply of AI chips which OpenAI relies on. Moreover, the chips are also very expensive.
While OpenAI has declined to comment, people familiar with the said matter disclosed that there are three options for OpenAI. These include building its own AI chip, working closely together with other chipmaker companies like Nvidia, and expanding its suppliers' list beyond Nvidia.
If OpenAI proceeds to its plan, the AI company will be joining tech giants such as Alphabet's Google and Amazon who are currently in control over the design of their chips in order to fit their businesses' needs.
In-House AI Chips' Implication to OpenAI
OpenAI launched its generative AI with the help of a supercomputer built by Microsoft which uses 10,000 Nvidia's graphic processing units (GPUs). In general, running OpenAI is an expensive venture for the company.
Clearly, if OpenAI pushes through its own AI chip production it would cause a heavy financial gamble for the company as it could cost hundreds of millions of dollars per year without any assurance of its success. Alternatively, the AI company can opt to acquire a chip company which would speed up the process of building its own chip like when Amazon acquired Annapurna Labs in 2015.
For now, OpenAI is reportedly testing Microsoft's custom AI chip. Meanwhile, the demand for AI chips continues to surge high due to the advancement of the generative AI industry.
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