OpenAI's Recent Chip Deals
OpenAI has signed deals with AMD and Broadcom to build large numbers of AI chips, putting pressure on TSMC, the only company that can manufacture them.
The deal with AMD will result in 6 gigawatts' worth of GPUs being built in the next few years, with the first 1 GW deployment starting in late 2026.
The financial implications are significant, with OpenAI needing hundreds of billions of dollars to fulfill its promises, but the broader industry implications are also important.
the chips themselves, what that spells for the AI industry as a whole, and the added pressure on TSMC
- OpenAI's deal with AMD will see 6 GW of GPUs built
- First 1 GW deployment of AMD's Instinct MI450 silicon to start in late 2026
Author's summary: OpenAI's chip deals increase pressure on TSMC.
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