OpenAI Plans to Buy Google AI Chips in Move Beyond Nvidia, Report Says

OpenAI Plans to Buy Google AI Chips in Move Beyond Nvidia, Report Says

OpenAI is planning to buy artificial intelligence chips from Google, according to a report by The Information carried by Reuters, in a move that would deepen one of the most surprising partnerships in the AI industry. The ChatGPT maker already rents Google's tensor processing units, or TPUs, but a purchase would mean owning the hardware outright. No financial terms, quantities or delivery schedule were disclosed, and OpenAI declined to comment while Google did not immediately respond.

The report matters because OpenAI is one of Nvidia's largest customers, and Nvidia's graphics processors dominate the market for training and running large AI models. Google's TPUs have gained ground as a cheaper alternative, and Google began selling them directly to outside customers this year. By adding Google chips to its fleet, OpenAI would spread its computing across more suppliers and reduce its dependence on any single vendor at a time when Nvidia cannot always make enough of its own chips. OpenAI is also developing custom AI chips with Broadcom, completing what analysts describe as a three-vendor silicon strategy.

Investors, for now, have taken the news calmly. Nvidia shares were little changed on Wednesday morning at around $218, about 9 percent below their October 6 record of $239.24, suggesting the market sees OpenAI adding capacity rather than abandoning Nvidia. The broader picture is one of extraordinary spending: Amazon, Microsoft and Alphabet are together expected to spend up to $600 billion on AI infrastructure.

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