Open AI CEO Sam Altman is reportedly seeking US government approval for a move aimed at expanding global manufacturing of artificial intelligence chips.
Bloomberg reported on Friday (February 16).
According to the report, Altman has been actively reaching out to potential investors and partners in the US, the Middle East and Asia, but has stressed the importance of getting approval from Washington before moving forward.
He has held meetings with key officials, including Commerce Secretary Gina Raimondo, to discuss his plan to expand the world’s capacity to produce AI computing chips, the report said.
According to the report, potential partners for Altman’s plan include major chipmakers such as Taiwan Semiconductor Manufacturing Co., Intel and Samsung Electronics. Altman has already met with executives from Samsung and TSMC and has also held discussions with Middle East sovereign wealth funds about potential investments.
According to the report, Altman is trying to cooperate with the US government on approvals, timing and project structure. OpenAI is engaged in discussions about expanding global infrastructure and supply chains for the chips, energy and data centers needed by AI and other industries.
However, Altman’s fundraising efforts could trigger a national security review of foreign investment by a committee chaired by the Treasury Department. Additionally, Commerce Department controls on chip shipments to the Middle East could pose challenges.
Altman’s exact plan is still being developed, and he is closely monitoring the market to determine whether to focus on less extensive efforts to build lower-end chips and software. According to the report, a major overhaul of the chip manufacturing capacity is the goal. The decisions made will ultimately determine the amount of funding required. Altman is also exploring ways to increase the supply of green energy for AI chip manufacturing, which could further increase costs.
On February 8, it was reported that Altman’s efforts to reduce the shortage of AI chips could mean raising between $5 trillion and $7 trillion. These figures will eclipse the current global semiconductor market, which is projected to become a $1 trillion business by the end of the decade.
The lack of graphics processing units necessary to run AI applications has been a concern for OpenAI. Currently, Nvidia dominates the market, with a global market share of over 80%.
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