OpenAI To Launch Its First AI Chip In 2026 With Broadcom (reuters.com) 10
According to the Financial Times (paywalled), OpenAI is preparing to launch its first in-house AI chip in 2026 through a partnership with Broadcom. From a report: OpenAI plans to put the chip to use internally rather than make it available to external customers [...]. Last year, Reuters reported that OpenAI was working with Broadcom and Taiwan Semiconductor Manufacturing Co to develop its first in-house chip to power its artificial intelligence systems, while also incorporating AMD chips alongside Nvidia chips to meet the surge in infrastructure demands. At the time, OpenAI had examined a range of options to diversify chip supply and reduce costs.
Broadcom CEO Hock Tan said on Thursday that the company expects artificial intelligence revenue growth for fiscal 2026 to "improve significantly," after securing more than $10 billion in AI infrastructure orders from new customer, without naming it. A new prospect placed a firm order last quarter, making it into a qualified customer, Tan said on an earnings call.
Broadcom CEO Hock Tan said on Thursday that the company expects artificial intelligence revenue growth for fiscal 2026 to "improve significantly," after securing more than $10 billion in AI infrastructure orders from new customer, without naming it. A new prospect placed a firm order last quarter, making it into a qualified customer, Tan said on an earnings call.
That's too bad. (Score:1)
I'm jotting down "Broadcom" to the list of companies that are part of the dark side of tech, whose products I will avoid in the future.
It has been nice knowing you.
Re:That's too bad. (Score:4, Insightful)
Broadcom's long practice of requiring NDAs before giving out even data sheets for their chips -- or letting people take certification exams -- was not sufficient to put them on "the dark side", but doing contract chip development for someone else is? Can you elaborate the logic there?
Re: That's too bad. (Score:4, Informative)
Re: (Score:3)
It's the thin line between everyday villainy and cartoonish supervillainy.
Re:That's too bad. (Score:4, Interesting)
You'll have a hard time finding a smartphone without a Broadcom IC.
But why do you care if Broadcom designs a chip for OpenAI?
It seems like an odd reason to get your panties in a twist.
Re: (Score:2)
Are you sure you aren't thinking of Qualcomm? Broadcom used to be the most common WiFi chips in PCs, but they were never dominant in mobile phones.
But the old Broadcom, as crappy as they were, were acquired by Avago in 2016, and the newly merged entity renamed itself to Broadcom. That's when they became truly horrible.
Re: (Score:2)
Broadcom makes way more than WiFi chips. Apple makes its own WiFi chip, but uses Broadcom RF filters. Galaxy smartphones also contain some Broadcom ICs.
Dept. of wars, obviously (Score:2)
after securing more than $10 billion in AI infrastructure orders from new customer, without naming it
No other idiots to dump real money for the chatbots of sammy altman that one can imagine.
Re: (Score:2)
after securing more than $10 billion in AI infrastructure orders from new customer, without naming it
No other idiots to dump real money for the chatbots of sammy altman that one can imagine.
Consider that current Broadcom AI chip revenue is around $12 billion annually, with recent quarters hitting around $6 billion. So, $10 billion from one company would be a lot. That would likely be a bigger order than for Google's TPUs. That's a huge gamble on OpenAI's part, that its first generation chip will be useful enough to deploy that widely. Remember that Google is on the 6th generation for TPUs after 10 years. OpenAI is hoping to do that immediately.