OpenAI will deploy its first AI processor in 2026 with Broadcom.

According to people familiar with the situation, OpenAI plans to develop its first artificial intelligence chip in conjunction with US semiconductor giant Broadcom (AVGO.O) next year.

According to the FT story, OpenAI intends to use the chip internally rather than making it available to external clients.

Reuters could not immediately confirm the report.

OpenAI and Broadcom did not immediately respond to Reuters’ requests for comment after regular business hours.

OpenAI, which helped commercialize generative AI capable of producing human-like responses to queries, relies on substantial computing power to train and run its systems.

Last year, Reuters reported that OpenAI was collaborating with Broadcom and Taiwan Semiconductor Manufacturing Co (2330.TW) to create its first in-house chip to power its artificial intelligence systems, as well as incorporating AMD (AMD.O) and Nvidia (NVDA.O) chips to meet the surge in infrastructure demands.

At the time, OpenAI had looked into a variety of ways to diversify chip supply and cut prices.

In February, Reuters reported that OpenAI was moving ahead with its ambition to minimize its reliance on Nvidia for chip supply by producing its first generation of in-house AI silicon.

According to Reuters, ChatGPT was finishing the design for its first in-house chip in the next months and planned to send it to TSMC for manufacture.

After obtaining more than $10 billion in orders for AI infrastructure from a new customer, Broadcom CEO Hock Tan stated on Thursday that the company anticipates artificial intelligence revenue growth for fiscal 2026 to “improve significantly” without naming the customer.

Tan stated during an earnings call that a fresh prospect became a qualified client last quarter after placing a solid order.

In addition to its three current major clients, Tan had alluded to four additional potential clients earlier this year who were “deeply engaged” with the business to design their own unique chips.