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Broadcom reportedly won't build OpenAI's custom chip unless Microsoft buys 40 percent of them

OpenAI's custom AI chip project with Broadcom has hit a funding wall. Broadcom won't finance production unless Microsoft commits to buying 40 percent of the chips, and Microsoft hasn't agreed yet. OpenAI manager Sachin Katti called the dependency "financially unattractive" in an internal message. The first phase alone costs around 18 billion dollars.

SourceThe DecoderAuthor: Matthias Bastian
Broadcom reportedly won't build OpenAI's custom chip unless Microsoft buys 40 percent of them
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  • Broadcom demands Microsoft commit to buying 40% of chips
  • Microsoft has not yet agreed
  • OpenAI manager calls dependency financially unattractive
  • First phase costs around $18 billion

Highlights and analysis are generated automatically and may contain errors. Check the original source.