OpenAI is reportedly talking with chip designers, including Broadcom Inc., about developing a new artificial intelligence chip for servers.

The Information reported that the initiative is being led by OpenAI Chief Executive Officer Sam Altman and is part of a larger plan to increase the company’s computing power for AI development. The idea of developing new AI chips is also said to be part of a push by OpenAI to overcome a shortage of graphics processing units that are currently used to develop AI models, with most of those GPUs coming from Nvidia Corp.

OpenAI is also reportedly hiring former Google LLC employees who were involved in the development and production of Google’s tensor processing unit, an AI accelerator, to help with its AI chip design efforts. Notably, Broadcom worked with Google to develop the TPU, meaning that it has experience in building custom AI-related chips.

OpenAI did not entirely confirm nor denied the report, but a spokesperson did say that “OpenAI is having ongoing conversations with industry and government stakeholders about increasing access to the infrastructure needed to ensure AI’s benefits are widely accessible.”

That OpenAI is interested in developing its own AI chips comes as zero surprise, since the company was first reported to have been looking at developing custom AI chips back in September.

In January, it was reported that Altman had held fundraising talks with SoftBank Group Corp. and Abu Dhabi-based G42 to raise billions for a new chip manufacturing venture. In February, the billions turned into trillions, with Altman reported to be looking to raise a staggering $7 trillion for a new chip venture.

Whether Altman and OpenAI are still interested in building a new chip fab is not clear. Given the $7 trillion amount allegedly being sought was larger than the economies of Australia and Japan combined, the insane figure was likely simply too much for Altman and OpenAI to raise, making a partnership with an existing company such as Broadcom far more practical and cheaper.

Whatever way Altman and OpenAI go, their endeavors have one target: Nvidia. The Taiwanese company has come to dominate the AI chip space and was, for a time, the most valuable company in the world. While today it’s currently in third place, not far behind Microsoft Corp. and Apple Inc., Nvidia’s rise, off the back of AI, has been remarkable.

As AI has grown, so too has Nvidia, but one company with an estimated AI chip market share of 70% to 95% of the market means that AI companies are at Nvidia’s beck and call in terms of access to computing. OpenAI building a new chip with Broadcom or opening its own chip fab comes back to not having to rely on Nvidia nearly exclusively for AI processing chips.

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