ETtech Explainer: OpenAI deals with AMD, Nvidia spark bubble concerns

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OpenAI is binge shopping for computing clout. In less than a month, the AI champ has signed multiple agreements for chips and cloud capacity of several gigawatts (GW). Considering the rising demand for AI — in both enterprise and retail — and OpenAI’s hardware ambitions, these deals hold a critical position in the company’s infrastructure plans.

As per a Financial Times report, the combined value of these deals now stands at $1 trillion, compared to OpenAI’s valuation of $500 billion.

The deals have, however, raised concerns of circular…



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ETtech Explainer: OpenAI deals with AMD, Nvidia spark bubble concerns



OpenAI is binge shopping for computing clout. In less than a month, the AI champ has signed multiple agreements for chips and cloud capacity of several gigawatts (GW). Considering the rising demand for AI — in both enterprise and retail — and OpenAI’s hardware ambitions, these deals hold a critical position in the company’s infrastructure plans.

As per a Financial Times report, the combined value of these deals now stands at $1 trillion, compared to OpenAI’s valuation of $500 billion.

The deals have, however, raised concerns of circular…



Source link

Disclaimer

We strive to uphold the highest ethical standards in all of our reporting and coverage. We StartupNews.fyi want to be transparent with our readers about any potential conflicts of interest that may arise in our work. It’s possible that some of the investors we feature may have connections to other businesses, including competitors or companies we write about. However, we want to assure our readers that this will not have any impact on the integrity or impartiality of our reporting. We are committed to delivering accurate, unbiased news and information to our audience, and we will continue to uphold our ethics and principles in all of our work. Thank you for your trust and support.

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