OpenAI CEO Sam Altman is in the process of setting up fundraising for a network of semiconductor manufacturing factories, according to a new report, amid a multi-billion dollar production race for the chips—technology critical for the production of consumer goods and AI products.

Altman has been speaking with large potential investors who would help fund the chip plant network, Bloomberg reported, citing unnamed people familiar with the conversations.

Investment firms such as Abu Dhabi-based technology group G42 and Tokyo-based SoftBank Group are some of the firms in communication with Altman about the project, Bloomberg added, noting that it would involve top chip manufacturers.

Further details about Altman’s aims with the early-stage project are scant, though its potential success could play a role in the ongoing chip war between the U.S. and China, both of which are seeking to bolster their production of chips for applications in the AI, military and consumer goods sectors.

It is unclear where the chip plants would be located, but basing them in the U.S. could help the country’s manufacturing power, as it currently manufactures around 12% of the world’s chips domestically and relies heavily on outsourcing as a cost-saving measure.

Altman’s project would also likely come to fruition alongside increasing demand for chips in the near to mid-future, as the use of semiconductors in vehicles increases and geopolitical trade risks continue to persist, according to S&P Global.

OpenAI, G42 and SoftBank did not immediately respond to Forbes’ request for comment.

By: DocMemory
Copyright © 2023 CST, Inc. All Rights Reserved