OpenAI says its Jalapeño chip can power faster AI responses than the competition

OpenAI has unveiled its new Jalapeño AI chip, developed in partnership with Broadcom to improve inference performance. The company claims the chip offers significantly lower latency and higher energy efficiency compared to current industry-standard Nvidia superchips.
Why it matters
As AI demand grows, custom silicon is becoming critical for companies to reduce operational costs and improve the speed of AI-driven services.
OpenAI says its new AI chip, Jalapeño, completes tasks more efficiently and returns responses faster than other AI systems, according to a blog post published on Tuesday. During a briefing with reporters, OpenAI hardware vice president Richard Ho said Jalapeño offers the “best of both worlds” with lower latency and higher throughput, as AI systems typically “have to make a trade-off between the two.”
First introduced in June, Jalapeño is an Application-Specific Integrated Circuit (ASIC) made in partnership with Broadcom. It’s designed for AI inference — the process of running a trained AI model to complete a task or deploy an agent.
[Image: This chart measures Jalapeño’s time between tokens (TBT) — or the time it takes to deliver a response. https://platform.theverge.com/wp-content/uploads/sites/2/2026/08/tbt-jalapeno.png?quality=90&strip=all]
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