OpenAI's Sam Altman Says 'Brutal' Chip Shortage To Ease Next Year: 'Magic Of Capitalism Is Doing Its Thing'
Portfolio Pulse from Benzinga Neuro
OpenAI CEO Sam Altman expects the chip shortage, which has driven up the price of Nvidia's H100 processors, to ease next year as more companies introduce alternatives. OpenAI, backed by Microsoft, relies on Nvidia GPUs for AI applications like ChatGPT. Nvidia aims to triple GPU production by 2024, and competition is expected from companies like Google, Microsoft, and AMD. Nvidia's CEO Jensen Huang cautions that no company's survival is assured despite the AI boom.
November 14, 2023 | 3:19 am
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Nvidia's dominance in the GPU market may face challenges as competitors introduce alternatives to its H100 processors, potentially impacting its market share and stock price.
The introduction of competing products could lead to a decrease in demand for Nvidia's GPUs, potentially affecting the company's revenue and stock price in the short term.
CONFIDENCE 75
IMPORTANCE 70
RELEVANCE 80
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Microsoft's financial backing of OpenAI, which uses Nvidia GPUs, could benefit from the easing chip shortage and increased competition in the GPU market.
As a financial backer of OpenAI, Microsoft stands to gain from a diversified GPU market and reduced costs due to the easing chip shortage.
CONFIDENCE 70
IMPORTANCE 50
RELEVANCE 60