OpenAI reportedly nears a milestone on its own custom chips

Nvidia’s powerful GPUs have fueled today’s AI boom. The biggest tech companies have been hoarding those chips as they compete to train larger and larger AI models.

But no company likes a monopoly, which is why we’ve seen companies like Meta, Amazon, Microsoft, and OpenAI start to hedge their bets and begin designing their own custom AI chips.

Reuters reports that OpenAI is close to hitting a milestone in the development of its custom AI chips, which will be manufactured by TSMC. OpenAI plans to be mass producing the new chip by 2026.

Exclusive: OpenAI set to finalize first custom chip design this year

Reuters reports that OpenAI is close to hitting a milestone in the development of its custom AI chips, which will be manufactured by TSMC. OpenAI plans to be mass producing the new chip by 2026.

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Rani Molla24s

Bloomberg says SpaceX is actually considering a merger with Tesla or xAI

Bloomberg is reporting that Elon Musk’s SpaceX is considering merging with Musk’s Tesla. Earlier today Reuters had reported that SpaceX was thinking of potentially merging with xAI ahead of SpaceX’s IPO this year.

This story is developing.

Elon Musk’s SpaceX Is Said to Consider Merger With Tesla or xAI

Rani Molla

APPLE OF MY AI

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Apple posts record quarterly revenue and iPhone sales

But all eyes will be on margins and AI.

Rani Molla2h

WSJ: Amazon considering $50 billion investment in OpenAI

What a difference half a day makes. Earlier today, The Information reported that Amazon was considering investing roughly $10 billion to $20 billion in OpenAI as part of a $60 billion fundraising round alongside Nvidia and Microsoft. Now The Wall Street Journal is reporting the e-commerce giant could invest up to $50 billion in the ChatGPT maker as part of a larger, $100 billion funding round. The Financial Times also earlier reported today a $100 billion funding round but with smaller amounts from Nvidia, Microsoft, and Amazon.

Exclusive | Amazon in Talks to Invest Up to $50 Billion in OpenAI

Rani Molla4h

Elon Musk’s SpaceX reportedly in talks to merge with xAI

Tesla CEO Elon Musk is reportedly exploring a merger between SpaceX and his artificial intelligence startup, xAI, a move that would bundle rockets, satellites, the social media site X, and AI under one company ahead of SpaceX’s long-anticipated IPO.

According to Reuters reporting, the deal would swap xAI shares for SpaceX stock, potentially valuing the combined operation north of $1 trillion.

Reuters reports:

“Two entities have been set up in Nevada to facilitate the transaction, the person said.

Reuters could not determine the value of the deal, its ‌primary rationale, or its potential timing.

Corporate filings in Nevada show that those entities were set up on January 21. One of them, a limited liability company, lists SpaceX and Bret Johnsen, the company’s chief financial officer, as managing members, while the other lists Johnsen as the company’s only officer, the filings show.”

The combined companies could also set the narrative groundwork for putting data centers in space — an idea that Musk and a number of other tech billionaires have been floating lately but that may not get off the ground.

In its earnings filings yesterday, Tesla disclosed that it recently made a $2 billion investment in xAI. Last year, Musk’s xAI bought Musk’s X in an all-stock deal.

Exclusive: Musk's SpaceX in merger talks with xAI ahead of planned IPO, source says

Reuters reports:

“Two entities have been set up in Nevada to facilitate the transaction, the person said.

Reuters could not determine the value of the deal, its ‌primary rationale, or its potential timing.

Corporate filings in Nevada show that those entities were set up on January 21. One of them, a limited liability company, lists SpaceX and Bret Johnsen, the company’s chief financial officer, as managing members, while the other lists Johnsen as the company’s only officer, the filings show.”

In its earnings filings yesterday, Tesla disclosed that it recently made a $2 billion investment in xAI. Last year, Musk’s xAI bought Musk’s X in an all-stock deal.

Translating Microsoft CEO Satya Nadella

Translating Nadella’s jargon to understand his strategy for meeting intense demand for AI computing.

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