"OpenAI has landed a new hardware partner. The AI research lab announced Monday it formed a partnership with semiconductor company Broadcom for 10 gigawatts worth of custom AI accelerator hardware. These AI accelerator racks will be deployed to OpenAI data centers and partner data centers starting in 2026 and running through 2029. By designing its own chips and systems, OpenAI can embed what it's learned from developing frontier models and products directly into the hardware, unlocking new levels of capability and intelligence,"
"While terms of the deal were not disclosed, the Financial Times estimated it could cost OpenAI an estimated $350 billion to $500 billion. This is just the latest infrastructure deal for OpenAI in recent weeks. Last week, OpenAI announced it was purchasing an additional six gigawatts of chips from AMD in a deal worth tens of billions of dollars. In September, Nvidia announced it was investing $100 billion into OpenAI alongside a letter of intent for OpenAI to tap 10 gigawatts worth of Nvidia hardware."
OpenAI formed a partnership with Broadcom to acquire 10 gigawatts of custom AI accelerator hardware, with racks scheduled for deployment to OpenAI and partner data centers from 2026 through 2029. By designing its own chips and systems, OpenAI aims to embed learnings from frontier model and product development directly into hardware to unlock greater capability and intelligence. Financial Times estimated the deal could cost OpenAI $350 billion to $500 billion, though terms were not disclosed. Recent related deals include six gigawatts of chips from AMD, Nvidia's announced $100 billion investment and 10-gigawatt letter of intent, and an alleged $300 billion Oracle cloud deal.
Read at techcrunch.com
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