OpenAI CEO Sam Altman Seeks Trillions to Develop Semiconductor Chips for AI Systems
Summary:
OpenAI CEO, Sam Altman, is reportedly courting global investors to raise trillions of dollars for developing semiconductor chips. The endeavor requires around $5-$7 trillion to address the company's scalability issues and the high cost of chips essential for high-level AI systems. Altman has been communicating with potential partners, including chip manufacturers, investors, energy suppliers and governmental bodies. The initiative has caught the attention of stakeholders such as the UAE and SoftBank. Meanwhile, OpenAI's majority stakeholder, Microsoft, supports the fundraising efforts.
The Chief Executive Officer of OpenAI, Sam Altman, is said to be engaging with global investors in an ambitious quest to secure trillions of dollars for the creation of semiconductor chips. A report from the Wall Street Journal on February 8th elucidated that the CEO's ambitious endeavor would necessitate the mobilization of approximately $5-$7 trillion. Insiders at OpenAI have mentioned that this funding would address the company's expansion impediments and the dearth and expense of chips necessary for crafting sophisticated AI systems. Reportedly, Altman has been proposing collaborations between OpenAI and a variety of investors, chip manufacturers, and power suppliers, assuring that OpenAI would be a substantial consumer for the novel manufacturing plants. An OpenAI representative stated, “OpenAI has engaged in beneficial discussions regarding the expansion of international infrastructure and supply chains for chips, power, and data centers - these are all crucial to AI and other industries that depend on them.” Altman has also had a recent discussion with the U.S. Commerce Secretary, Gina Raimondo, as this initiative would necessitate the participation of global patrons, industrial partners, and governmental bodies. Simultaneously, OpenAI has confirmed that the U.S. government will stay informed, considering the gravity of this venture for the nation's "national priorities.” Altman also managed to hold a meeting with Sheikh Tahnoun bin Zayed al Nahyan, the UAE's highest-ranking security official. According to those in the know, the UAE could assume a significant role, provided it gains approval from the U.S. administration. Additionally, the CEO of SoftBank, Masayoshi Son, and delegates from chip-manufacturing companies such as Taiwan Semiconductor Manufacturing have reportedly been in discussions with Altman regarding his undertaking. An insider has revealed that Microsoft, which owns a majority stake in OpenAI, endorses the company's fundraising activities. In late 2023, reports circulated that OpenAI was negotiating with potential investors inclined to inject over $100 billion into the company. Presently, Nvidia stands as the leading firm in the production of AI computation chips, and its revenues have recently surged, with its value crossing the trillion-dollar mark due to intensifying advancements in AI modelling. Meta, the Big Tech company which holds ownership of Facebook and Instagram, has also announced its entry into the AI chip industry with the launch of its latest chip, "Artemis," which will be utilized in its data centers to bolster AI capabilities and lessen its reliance on Nvidia.
Published At
2/9/2024 12:27:48 PM
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