OpenAI and Broadcom reveal Jalapeno, first AI chip in partnership
OpenAI and Broadcom reveal Jalapeno, first AI chip in partnership
Publish Date: 2026-06-24 09:03:00
Source Domain: www.cnbc.com
- Introduction of Jalapeño Chip: OpenAI and Broadcom have unveiled their first custom AI chip, known as Jalapeño.
- Purpose: The Jalapeño chip is designed to handle the compute-intensive process of serving AI models used in applications like ChatGPT.
- Development: The chip is an application-specific integrated circuit (ASIC) designed by OpenAI and crafted in partnership with Broadcom.
- Strategic Move: This initiative is part of OpenAI’s plan to “build the full stack behind its models and products” for greater efficiency and broader AI access.
- Market Position: Broadcom has benefited significantly from the generative AI boom and shares increased following the announcement.
- Partnerships and Demand: To meet its growing demand, OpenAI has also partnered with Amazon Web Services, Advanced Micro Devices, and Cerebras Systems.
- Future Plans: The Jalapeño chips are expected for initial deployment by the end of 2026, with plans for expanded deployment in the future.
- Sustainability and Efficiency: With an anticipated need for 10 gigawatts of power, the design aims to push advanced AI towards broader availability by emphasizing efficiency.
