OpenAI, the company that created ChatGPT and has been leading the recent growth of artificial intelligence, is currently searching for other options to avoid running out of the expensive AI chips required to operate their advanced AI models. These expensive chips, which are not easily found – may soon be produced in-house by the Sam Altman AI startup. According to a report from Reuters, OpenAI is considering making its own chips. However, no final decision has been made yet and it is still in the early stages.
This way of thinking is a big change for OpenAI in how they handle the expensive and limited supply of AI chips. The report states that OpenAI is considering the possibility of buying something, according to people who know about it. Microsoft is heavily involved in making its own AI chips and supports OpenAI as well.
OpenAI is currently facing a major problem in the AI industry, which is the lack of advanced AI chips. These chips, which are important for AI models like ChatGPT, are not easily available worldwide. This shortage has caused a problem in OpenAI's work and made them reconsider their strategy. Sam Altman is the CEO of OpenAI. He knows that advanced processors are important for the company's AI software. In private conversations with Reuters, Altman has emphasized how important it is to obtain enough expensive AI chips, which is now a main focus.
OpenAI is facing a big problem because Nvidia is the most popular company in selling graphics cards, especially the ones used for artificial intelligence. Nvidia has a very strong position in the global market, with more than 80% of the market share. This market control makes it difficult for OpenAI to do its work because the company depends a lot on Nvidia GPUs to power its AI projects and goals.
Because there is a shortage of chips, OpenAI is looking for different ways to solve the problem. This can be simplified to: They are trying to make their own AI chips and work more closely with chip companies like Nvidia. OpenAI is considering the idea of using different companies to make computer chips, instead of just relying on Nvidia. But, it is important to know that OpenAI has not yet made a final decision about what they will do next, so we are still waiting for their decision.
This drive to have AI chips that can work on their own is because it is very expensive to run the hardware needed for OpenAI's big projects. ChatGPT, OpenAI's main AI language model, is built on a really big and powerful supercomputer made by Microsoft and using thousands of Nvidia GPUs. Experts predict that every time someone uses ChatGPT, it costs about 4 cents. This puts a big financial strain on OpenAI.
However, even if OpenAI decides to create their own AI chips and possibly buy a chip company, it will take a few years to actually make it happen. During this changing period, OpenAI is expected to continue relying on companies like Nvidia and Advanced Micro Devices to get the computer chips it needs right away.
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