OpenAI plans to buy Google AI chips to expand computing capacity and strengthen AI infrastructure: Report

By: Hindustan Times Business

Published: 28 October 2026

Photo / Illustration: Haldwani Times News Desk

OpenAI plans to buy artificial intelligence (AI) computing chips from Google as it looks to increase its computing capacity and strengthen its AI infrastructure, according to Bloomberg, which cited a person familiar with the matter. OpenAI plans to buy Google AI chips to expand computing capacity. (REUTERS)The final terms of the possible deal have not yet been decided, the person said. The person spoke on the condition of anonymity because the discussions are private. The planned purchase is part of OpenAI’s efforts to secure more computing power to develop and run its AI models. The company is looking at different ways to increase its computing capacity instead of depending on a single source of chips, according to Bloomberg’s report. OpenAI has also announced plans to start using its own AI chips to support its AI models later this year. This shows that the company is working on multiple ways to meet its growing need for computing power. OpenAI is among several technology companies developing their own AI chips to reduce their dependence on Nvidia, which currently dominates the market for AI computing hardware, according to Bloomberg. OpenAI’s in-house chips, called Jalapeno, are being developed with the help of Broadcom. The project also has links to Google’s chip development work, as people who previously worked at Google have helped with the effort, Bloomberg reported. Richard Ho, who leads OpenAI’s internal chip team, was previously involved in developing Google’s semiconductors. Google’s AI chips are known as tensor processing units, or TPUs, Bloomberg reported. Google began developing TPUs more than a decade ago. The company initially designed these processors to speed up its web search engine and make its operations more efficient, according to Bloomberg. Over time, Google’s TPUs became useful for handling AI-related tasks. They have emerged as an alternative to Nvidia’s graphics processing units (GPUs), which are widely used to train and run AI models, Bloomberg reported. Google’s chips are also becoming available through other companies’ cloud services. Oracle announced on Tuesday that customers would be able to access Google’s TPUs through its cloud-computing infrastructure. Announcing the Oracle deal, Google executive Amin Vahdat said that future AI systems would need different types of computing power. “The next generation of AI will require a diverse range of compute,” Vahdat said in a statement. The reported OpenAI deal highlights the growing competition among technology companies to secure the chips and computing infrastructure needed to develop more advanced AI systems. It also reflects the wider industry effort to find alternatives to Nvidia’s hardware. Durva More is a Senior Content Producer at Hindustan Times, where she covers finance, and global news. She brings experience across digital and television journalism, with a strong focus on breaking news, business reporting, and international affairs. Before joining Hindustan Times, Durva worked as an International News Writer at The Economic Times, covering a diverse range of subjects including global politics, business, sports, entertainment, and major world events. She also worked as a Business Reporter with NDTV Profit. A postgraduate diploma holder in Journalism from the Asian College of Journalism, Durva is passionate about field reporting and storytelling. She thrives on the adrenaline of chasing stories, speaking with people from different walks of life, and amplifying voices that deserve to be heard. Her reporting is driven by curiosity, accuracy, and a commitment to making complex subjects accessible to readers. When she is not chasing stories or covering breaking news, Durva enjoys reading books and painting. She loves exploring new ideas, meeting people, and learning about different perspectives. For her, both journalism and art are ways to understand the world and tell stories that matter.Read More

Haldwani Times

The leading digital news publication, business directory, and civic journal dedicated to Haldwani, Kathgodam, Nainital, and the entire Kumaon region of Devbhoomi Uttarakhand.

Registered Editorial Office: Tikonia Chauraha, Nainital Road, Haldwani, Uttarakhand 263139