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Pakistan, January 15 – OpenAI revealed a significant long-term partnership with AI chip manufacturer Cerebras on Wednesday, acquiring 750 megawatts of processing capacity to enhance its AI technologies and address increasing worldwide demand.

The $10 billion agreement will grant OpenAI access to Cerebras’ cutting-edge computing technology starting this year and lasting until 2028, enabling quicker results and enhanced performance for ChatGPT and additional AI offerings.

Andrew Feldman, the CEO of Cerebras, emphasized that real-time AI inference utilizing their technology has the potential to revolutionize the sector, much like broadband transformed online access, allowing for quick handling of intricate AI operations.

Cerebras, which has been in operation for more than ten years, became well-known following the 2022 release of ChatGPT and the subsequent surge in AI development. Its AI chip technology surpasses conventional GPU-based systems, such as those from Nvidia, offering improved performance and efficiency.

Sam Altman, the CEO of OpenAI and a shareholder in Cerebras, had once explored the possibility of purchasing the company. The collaboration enables OpenAI to enhance its artificial intelligence capabilities without pursuing a complete acquisition, while keeping a strategic alliance with Cerebras.

Cerebras has repeatedly delayed its initial public offering but remains active in obtaining financial support, with reports indicating discussions to secure an additional $1 billion at a valuation of $22 billion, enhancing its standing in the AI infrastructure sector.