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Sam Altman is looking to secure billions in funding for a network of artificial intelligence (AI) chip factories

OpenAI CEO Sam Altman is reportedly in the process of raising billions of dollars for a chip venture that aims to establish a network of semiconductor manufacturing plants globally, according to sources familiar with the plans. Altman has engaged in discussions with several potential large investors to secure the significant funds required for these fabrication plants, commonly known as fabs. The project envisions collaboration with leading chip manufacturers and the creation of a worldwide network of fabs.

Manufacturing chips involves substantial costs and consumes significant natural resources, and the expenses have been on the rise due to technological advancements in chip manufacturing, especially in the field of artificial intelligence applications. The report notes that Abu Dhabi-based G42 and Japan’s SoftBank Group are among the companies that have had preliminary talks with Altman about the ambitious venture. However, a comprehensive list of partners and funders has yet to be finalized.

The discussions with G42, a partner of OpenAI since October of the previous year, have centered around raising funds ranging from $8 billion to $10 billion. The status of these discussions remains unclear. Potential partners for OpenAI in this endeavor include Intel, Taiwanese chipmaker Taiwan Semiconductor Manufacturing Co (TSMC), and Samsung Electronics, as suggested by the report.



Sam Altman seeks to raise billions for network of AI chip factories:  Report, ET Telecom
Sam Altman seeks to raise billions for network of AI chip factories

Intel, TSMC, Samsung, SoftBank, G42, and OpenAI have not provided immediate responses to Reuters’ requests for comments. Microsoft, another significant player in the tech industry, declined to comment on the matter.

The initiative led by Sam Altman reflects a broader trend in the semiconductor industry, where there is a growing emphasis on securing reliable chip manufacturing capabilities. The demand for semiconductors has surged across various sectors, including consumer electronics, automotive, and artificial intelligence applications. As a result, companies are exploring strategies to strengthen their chip manufacturing capacities to meet the escalating global demand.

While OpenAI has gained prominence for its work in artificial intelligence, particularly with models like ChatGPT, this move into semiconductor manufacturing demonstrates a strategic pivot into a different domain of technology infrastructure. The success of Altman’s efforts in raising funds and establishing a network of fabs could significantly influence OpenAI’s trajectory and its role in the broader technology landscape.

It’s worth noting that discussions are still in the early stages, and the full list of partners and funders is yet to be finalized. The outcome of these talks and the subsequent developments in OpenAI’s foray into semiconductor manufacturing will likely shape the landscape of AI technology and its hardware infrastructure in the coming years.

In summary, OpenAI, under the leadership of Sam Altman, is reportedly seeking billions of dollars to fund a global network of semiconductor manufacturing plants. The ambitious venture aims to address the rising demand for chips, especially in the context of artificial intelligence applications, and represents a significant expansion of OpenAI’s activities beyond its established role in AI research and development. The success of this initiative could have far-reaching implications for OpenAI’s influence in the technology industry and its contribution to shaping the future of AI hardware.

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