Chips

An upstart supplier of AI chips secured a major customer. Cerebras, which competes with Nvidia in hardware for training large models, signed a $100 million contract with Abu Dhabi tech conglomerate G42. The deal is the first part of a multi-stage plan to build a network of supercomputers.

Nvidia’s top-of-the-line chips are in high demand and short supply. There aren’t enough H100 graphics processing units (GPUs) to meet the crush of demand brought on by the vogue for generative AI, VentureBeat reported.

New U.S. restrictions on chip sales aim to hamper China’s AI efforts. The U.S. government published sweeping limits on sales of processors that involve U.S. designs and technology to Chinese businesses. U.S. officials stated that the restrictions are meant to prevent China from militarizing AI.