OpenAI’s AI Chip Deal With Broadcom Hits $18 Billion Financing Snag
OpenAI and Broadcom's custom AI chip partnership—aiming for 10 gigawatts of power capacity to reduce Nvidia dependency—has hit an $18 billion financing obstacle over payment terms.
Excerpt
<p>When <a href="https://www.theinformation.com/org-charts/openai">OpenAI</a> and chip designer Broadcom announced last fall that they would make custom artificial intelligence chips together, they positioned it as a done deal.</p>
<p>The companies said the deal would bring enough chips online before 2030 to consume 10 gigawatts of power, equivalent to five Hoover Dams’ worth of electricity, in a bid to lessen OpenAI’s costly dependence on Nvidia hardware.</p>
<p>What they didn’t say was that they hadn’t figured out how OpenAI would pay for the project.</p>
Read at source: https://www.theinformation.com/articles/openais-ai-chip-deal-broadcom-hits-18-billion-financing-snag