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Tuesday, November 18, 2025

OpenAI taps Broadcom to build its first AI processor in latest chip deal

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OpenAI has teamed up with chipmaker Broadcom to create its first in‑house AI processor, according to a deal announced this week. The partnership means OpenAI will begin designing and building its own silicon for next‑generation machine‑learning models, instead of buying chips from other companies.

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Broadcom will supply the expertise and production capacity needed to build the new processors on a large scale. OpenAI says the move will give it more control over the hardware that powers tools such as ChatGPT, helping to reduce costs and speed up innovation.

Industry observers note that the deal is part of a broader trend of AI firms looking to own their own chips. Companies like Google, Amazon and Nvidia have long designed custom processors, but OpenAI’s first chip could put it on a similar footing.

The partnership will start with research and development, with production plans slated for 2025. Both firms have pointed out that the collaboration could open new revenue streams for Broadcom, while providing OpenAI a distinct competitive edge.

In a statement, OpenAI’s chief technology officer said: “Having our own AI processors allows us to iterate faster and build more powerful models.” Broadcom’s chief executive echoed the excitement, adding that the partnership would help meet growing demand for high‑performance AI silicon.

The agreement marks a milestone in the AI industry, showing how software leaders are now turning to hardware partnerships to fuel the next wave of artificial‑intelligence breakthroughs.


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