Bloomberg reported that OpenAI Chief Executive, Sam Altman, is aiming to secure billions of dollars for a new chip manufacturing venture. Last year, there were initial reports about the project, but its exact scope was unclear. Today’s report reveals that Altman intends to establish the venture as a significant player in the semiconductor market, with a specific emphasis on AI chip technology, which is a lucrative segment.
According to Bloomberg, Altman has engaged in fundraising discussions with SoftBank Group Corp. and Abu Dhabi-based G42. Reportedly, he may seek to raise $8 billion to $10 billion from the latter firm alone, and this fundraising effort is said to be in its early stages.
The vision for the venture involves creating a global network of semiconductor fabs, which would likely require tens of billions of dollars, if not more, in investment. This includes the potential construction of fabs on the scale of what Taiwan Semiconductor Manufacturing Co. Ltd. and Intel Corp. are currently undertaking.
One of the main motivations behind the new fab venture is Altman’s concern about the inadequate supply of AI accelerators to meet the growing demand. This indicates that the production of such chips will be a primary focus for the planned fab network.
It is expected that the chip fabs will manufacture various types of processors beyond AI accelerators, similar to the operations of Intel, TSMC, and Samsung Electronics Co. Ltd. It remains unclear whether Altman’s venture will produce chips based on customer-provided designs, sell processors based on its own blueprints, or engage in both approaches.
Fab constuction is a highly complex process that demands substantial capital and specialized expertise. Therefore, Altman’s venture may consider partnering with established chipmakers like Intel, TSMC, and Samsung to help establish its manufacturing infrastructure.
One notable challenge may arise if Altman’s startup ventures into the AI accelerator market, potentially putting it in competition with Intel and other established chipmakers. However, there is interest from Microsoft, OpenAI's key supporter, in Altman’s venture. Microsoft has introduced its own AI accelerator and could potentially collaborate with Altman’s venture to produce custom chips in the future.
