Ammon News - OpenAI said Monday it is working with chipmaker Broadcom to design its own artificial intelligence computer chips.

The two California companies didn't disclose the financial terms of the deal but said they will start deploying the new racks of customized “AI accelerators” next year.

The deal marks the latest between OpenAI, maker of ChatGPT, and the companies building the chips and data centers required to power AI, The AP news reported.

OpenAI CEO Sam Altman said in a statement that "developing our own accelerators adds to the broader ecosystem of partners all building the capacity required to push the frontier of AI to provide benefits to all humanity.”

Broadcom shares surged more than 8% on Monday after the morning announcement.

Broadcom CEO Hock Tan said in a statement that "we are thrilled to co-develop and deploy 10 gigawatts of next generation accelerators and network systems to pave the way for the future of AI.”