Altman says personally holding DRAM is a waste; OpenAI is developing its own Jalapeno chip

OpenAI CEO Sam Altman said in an interview on Cheeky Pint that from a global allocation perspective, having everyone put a bunch of the world's limited DRAM in their computers and use only 5% of it is quite bad, and maximizing utilization in the cloud is what makes sense. He said many people think local inference with open-source models can solve the problem, but intuition runs counter to this constrained environment. He also revealed that OpenAI is designing its own AI processor, Jalapeno, designed by AI for AI. The article mentions that memory price increases have already hit consumer hardware, and Micron announced its exit from consumer-grade memory production.