Crypto News- OpenAI allegedly pursuing trillions in funding for AI Chip advancement: According to recent reports from The Wall Street Journal on February 8th, Sam Altman, the CEO of OpenAI, is engaged in discussions with investors worldwide, aiming to secure trillions of dollars for the development of semiconductor chips tailored for artificial intelligence (AI).
Sources familiar with the matter suggest that Altman’s ambitious project would necessitate fundraising in the range of $5 to $7 trillion. These funds are earmarked to alleviate the scaling challenges faced by OpenAI, as well as address the scarcity and rising costs associated with the chips required for the advancement of sophisticated AI systems.
OpenAI Allegedly Pursuing Trillions in Funding for AI Chip Advancement
Altman has purportedly been advocating for partnerships between OpenAI and various investors, chip manufacturers, and energy suppliers. In these discussions, OpenAI has expressed willingness to become a significant customer of the new chip fabrication facilities.
In response to inquiries, an OpenAI spokesperson remarked, “OpenAI has engaged in fruitful dialogues concerning the expansion of global infrastructure and supply chains for chips, energy, and data centers — all of which are pivotal for AI and other industries reliant on them.”
Altman has recently conferred with United States Commerce Secretary Gina Raimondo to explore the feasibility of this initiative, recognizing that its success hinges on the participation of patrons, industry collaborators, and governments worldwide. OpenAI is committed to maintaining transparency with the U.S. government, given the project’s significance to the country’s national interests.
OpenAI’s Ambitious Bid: A Trillion-Dollar Quest for AI Chip Domination
Further discussions have taken place with the United Arab Emirates National Security Advisor, Sheikh Tahnoun bin Zayed al Nahyan, underscoring the potential involvement of the UAE pending approval from the U.S. government.
SoftBank CEO Masayoshi Son and representatives from chip fabrication giants like Taiwan Semiconductor Manufacturing have also been engaged in talks with Altman regarding this venture.
Notably, Microsoft, as a majority stakeholder in OpenAI, is reportedly supportive of the company’s fundraising endeavors, recognizing the strategic importance of such investments.
In December 2023, reports emerged of OpenAI engaging with investors considering injections of over $100 billion into the company.
Despite OpenAI’s aspirations, Nvidia remains the dominant force in AI computation chips. With the surge in AI model development, Nvidia has seen unprecedented revenue growth, boasting a valuation exceeding a trillion dollars.
Meanwhile, Meta, the parent company of social media platforms Facebook and Instagram, has entered the AI chip market with its latest offering, “Artemis.” This chip is designed to augment AI capabilities within Meta’s data centers, signaling a potential shift away from reliance on Nvidia chips.