Microsoft may follow partner OpenAI to team up with Broadcom for custom AI chips – The Times of India

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5 days ago

By TOI Tech Desk
Publication Date: 2025-12-08 14:06:00

Microsoft is reportedly partnering with Broadcom for custom AI chip design, mirroring a similar massive deal by its AI partner, OpenAI. This strategic move aims to secure crucial silicon for large-scale AI deployment and reduce dependence on Nvidia. OpenAI’s agreement with Broadcom involves co-designing chips for inference, potentially costing billions.

The race for specialised AI infrastructure is intensifying. Companies like Google are already ramping up their efforts and now Microsoft is reportedly pursuing a custom chip design partnership with Broadcom, switching from Marvell, another chipmaker. This essentially mirrors a recent, massive deal struck by its key AI partner, OpenAI.Citing one person involved in the discussions, a report by The Information says that Microsoft is currently in talks with Broadcom to design future chips. “And now Microsoft is also in talks to design future chips with Broadcom, which would involve Microsoft switching its business from Marvell,…