OpenAI Partners With Broadcom In $10B Push As Tech Giant Seeks More Energy For Growth

OpenAI has signed a major deal with Broadcom to design and develop 10 gigawatts of custom AI chips and systems — enough electricity to power a large city.

The partnership aims to meet the soaring demand for computing power driven by ChatGPT’s 800 million weekly users and the rapid growth of its new video-generation tool, Sora 2.

OpenAI and Broadcom signed a multiyear agreement to collaborate on custom chips and networking equipment, planning to add 10 gigawatts’ worth of AI data center capacity.

Caroline Hyde reports https://t.co/hdsxCxOY5l pic.twitter.com/QdYRMI4PSm

— Bloomberg TV (@BloombergTV) October 13, 2025

CEO Sam Altman said the collaboration is “a critical step in building the infrastructure needed to unlock AI’s potential.” Deployment of the chips and network systems is set to begin in late 2026.

We're partnering with Broadcom to deploy 10GW of chips designed by OpenAI.

Building our own hardware, in addition to our other partnerships, will help all of us meet the world’s growing demand for AI.https://t.co/3vLZFPO0jF

— OpenAI Newsroom (@OpenAINewsroom) October 13, 2025

The deal underscores growing concerns about AI’s environmental footprint. A U.S. Department of Energy report predicts that data centers could consume up to 12% of national electricity by 2028, up from 4.4% in 2023.

🚀 Broadcom ( $AVGO ) surges over $32 or 10% intraday after announcing a collaboration with OpenAI to deploy 10 gigawatts of OpenAI-designed AI accelerators. pic.twitter.com/iVhe1q6kKx

— Quant Data (@QuantData) October 13, 2025

Broadcom shares rose 12% after the announcement, following CEO Hock Tan’s confirmation of a new $10 billion client.

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