Sam Altman, Chief Executive Officer of OpenAI, is reportedly steering an ambitious initiative to establish a network of semiconductor factories, This move, backed by discussions with numerous prominent investors, aims to accumulate the substantial financial resources required for such a venture.

The focus of this global endeavour is on chip fabrication plants, colloquially known as fabs, which are integral to semiconductor production. The high cost of manufacturing these chips, compounded by their increasing technological complexity, especially for artificial intelligence applications, makes this a capital-intensive project, as per information from Bloomberg News.

Altman has reportedly engaged in preliminary discussions with several notable entities, including G42 based in Abu Dhabi, and Japan’s SoftBank Group. Although these talks are at an early stage, they indicate the scale of investment being considered, with figures ranging between $8 billion and $10 billion being discussed with G42 alone. However, the current status of these negotiations remains uncertain.

This expansive project contemplates collaboration with leading chip manufacturers like Intel, Taiwan Semiconductor Manufacturing Co (TSMC), and Samsung Electronics. While the discussions have yet to solidify into a definitive list of partners and funders, they signify a significant move in the semiconductor industry.

The report adds that Altman, who made a notable return to OpenAI in November following an unexpected departure, has revived his efforts in this chip venture. He has also approached Microsoft regarding the project, and the software giant has shown interest. However, companies such as OpenAI, SoftBank, Intel, TSMC, G42, Samsung, and Microsoft have not responded to requests for comments, with Microsoft specifically declining to comment.

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