OpenAI is preparing to begin mass production of its first artificial intelligence chips in 2026, partnering with semiconductor giant Broadcom Inc (NASDAQ:AVGO, ETR:1YD), the Financial Times reported on Thursday, citing sources familiar with the matter.
The move is expected to reduce the company’s reliance on Nvidia while boosting OpenAI’s internal computational infrastructure.
OpenAI noted the new chip is intended exclusively for in-house use and is not for commercial sale.
During its third quarter earnings call, Broadcom CEO Hock Tan revealed that it had received $10 billion in orders from a new, unnamed client for custom AI chips.
Tan added that the customer placed a firm order last quarter, making it into a qualified customer.
OpenAI is reportedly finalizing the chip design now, targeting production-ready specifications by the end of the year.
OpenAI CEO Sam Altman recently confirmed plans to surpass one million graphics processing units (GPUs) by the end of 2025.