OpenAI partners with Broadcom to produce its own AI chips

OpenAI, the artificial intelligence research company, has partnered with Broadcom to develop its own computer chips to power its AI data centers. This partnership is part of a broader strategy to reduce OpenAI's reliance on Nvidia and secure the necessary computing power to fuel its AI applications, such as ChatGPT and Sora. The deal will enable OpenAI to develop and deploy "10 gigawatts of custom AI accelerators" using its own chips and systems, which is a significant amount of computing power, equivalent to the output of several nuclear reactors. The partnership is expected to be fully operational by the end of 2029, with Broadcom starting to deploy the necessary equipment in the second half of 2026. This announcement comes after OpenAI struck similar deals with AMD and Nvidia, indicating a growing trend within the tech industry to develop custom chips and reduce reliance on a single supplier. Companies like Meta, Google, and Microsoft are also working on their own chip projects to bolster their AI infrastructure and supply lines.