OpenAI’s AI corporation and research lab is exploring the possibility of building its own AI chips.

Reuters writes that discussions of strategies for artificial intelligence chips in the company have been going on since at least last year, because there is a shortage of such chips in the market. OpenAI seems to be considering a number of strategies, including acquiring an AI chipmaker or in-house chip design.

OpenAI CEO Sam Altman has made chips a priority for the company.

Currently, OpenAI, like most of its competitors, relies on GPU-based hardware to develop models like ChatGPT, GPT-4, and DALL-E 3. GPUs’ ability to perform many calculations in parallel makes them suitable for training the most advanced AI models.

But the growing popularity of generative AI is creating a shortage of GPUs. The most popular chips are already sold out by 2024. Microsoft is facing a shortage of server hardware needed to run artificial intelligence, so severe that it can lead to service disruptions.

An analysis by Bernstein analyst Stacey Rasgon found that if ChatGPT queries grow to a tenth of the scale of Google Search, it would take roughly $48.1 billion in GPUs and about $16 billion per year to keep things running.

Undeniably, OpenAI is in a strong position to invest heavily in research and development. The company, which has raised over $11 billion in venture capital, is nearing $1 billion in annual revenue. According to a recent report by the Wall Street Journal, OpenAI is considering selling shares, which could bring its secondary market value to $90 billion.

As a reminder, we wrote about how newsrooms around the world are implementing AI. Journalists are concerned about AI in the newsroom, but it still makes its way inside

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