ChatGPT maker OpenAI closed in on the final design of an internally developed chip for AI as it seeks to reduce its dependence on Nvidia, Reuters reported.

The news agency reported OpenAI is in the final stages of designing its first in-house chip ahead of sending to Taiwan Semiconductor Manufacturing (TSMC) for fabrication.

If the chip design passes initial muster, OpenAI would be able to test it ahead of mass production in 2026, Reuters stated.

Fortune reported in October 2024 OpenAI was also collaborating with Broadcom to build its own chip, seeking to control its infrastructure costs and diversify its supply chain.

Once the design is finalised, Reuters reported TSMC will make OpenAI’s AI chip using its advanced 3nm process technology.

The chip is being developed by a team led by Richard Ho, who previously led Google’s effort to build a custom AI chip programme, Reuters reported.

Amazon Web Services, Microsoft, Google and Meta Platforms are developing their own silicon to improve performance and efficiency.