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OpenAI and Broadcom unveiled the Jalapeno inference chip, developed in nine months, for gigawatt-scale deployment in 2026.
OpenAI and Broadcom unveiled "Jalapeño," a custom inference chip designed to run large language models, marking the company's entry into silicon hardware [1]. The move signals a shift toward vertical integration to control the cost and speed of AI compute as demand for inference capacity grows [1].
| At a glance | |
|---|---|
| Product | Jalapeño Intelligence Processor |
| Development time | 9 months |
| Deployment target | 2026 |
| Performance claim | Better perf/watt vs state-of-the-art |
The chip was developed from design to production in nine months, a timeline the companies claim is the fastest for high-performance semiconductors [1]. Early testing indicates Jalapeño delivers performance per watt "substantially better than current state-of-the-art" accelerators, though final metrics are pending [1]. Engineering samples are currently running workloads including GPT-5.3-Codex-Spark at target frequency and power in the lab [1]. Unlike general-purpose accelerators adapted for AI, Jalapeño is a blank-slate design built specifically for LLM inference to reduce data movement and balance compute resources [1].
This launch expands OpenAI's platform from software and models down to the physical chip layer [1]. By designing its own infrastructure, OpenAI aims to create a "flywheel" where better efficiency lowers costs, enabling more capable models and cheaper products [1]. The chip is the first in a multi-generation roadmap planned for gigawatt-scale deployment with data center partners, including Microsoft, beginning in 2026 [2]. Broadcom CEO Hock Tan described the collaboration as a commitment to scaling physical infrastructure for the next decade of AI [2].
The 2026 deployment date will test whether OpenAI can actually translate custom silicon into cost savings and performance gains at the massive scale required for its global products.
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The Jalapeño ASIC is designed for AI inference to serve OpenAI's models more efficiently and is part of OpenAI's effort to build its own hardware stack.
OpenAI and Broadcom aim to begin deploying the Jalapeño chips by the end of 2026, with further expansion in subsequent years.
OpenAI has agreements with AWS for Trainium chips, AMD, and AI chipmaker Cerebras, complementing its new partnership with Broadcom.