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Industry AI Minute Newsroom 2026-08-26

OpenAI has its own chip now, and on the benchmark it beats Nvidia's Blackwell by up to 1.9 times on work per watt

OpenAI has its own chip now, and on the benchmark it beats Nvidia's Blackwell by up to 1.9 times on work per watt

OpenAI published the first live measurements of Jalapeño, the inference chip it designed with Broadcom: 700 watts per chip, 13.4 petaflops of MXFP4 maths, 15.4 terabytes a second of HBM4 memory bandwidth, 128 chips to a rack. Run on SemiAnalysis's public InferenceX suite against GPT-OSS 120B, DeepSeek R1 and Kimi K2.5, it returned 1.5 to 1.9 times more throughput per watt than the Nvidia Blackwell systems it was measured against, and cut end-to-end response times by 1.7 to 3.6 times. Design work started in mid-2024 and taped out in November 2025; the first units go into OpenAI's own data centres in very small volumes at the end of this year, with the real ramp through 2027.

Why it mattersNvidia's margins rest on there being nothing else to buy. A customer spending tens of billions a year building its own alternative changes that arithmetic before a single rack is installed. Two cautions travel with the numbers: SemiAnalysis puts Jalapeño level with Nvidia's next-generation Vera Rubin rather than ahead of it, and by the time the chip ships in volume it will be racing Nvidia's 2027 parts, not today's.

✓ Verified · 2 sources

▶ Related video: OpenAI Just Built Its First AI Chip: Jalapeño Explained
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