Missed opportunity: how Intel missed the chance to invest in OpenAI

In the days when Intel ruled the world of computer chips, its position was unshakable. But in the era of artificial intelligence, the tech giant has found itself in trouble. History might have been different had Intel decided to invest in OpenAI, a then-young non-profit organisation working on generative artificial intelligence.

Seven years ago, in 2017 and 2018, Intel $INTChad an option to buy a stake in OpenAI for $1 billion, which would have given it a 15% stake. Another option was to acquire a 15% stake in exchange for producing hardware for OpenAI at cost prices. Negotiations went on for several months, but ultimately no deal was reached. According to three anonymous sources, because of then-CEO Bob Swan's skepticism about the imminent arrival of commercially viable generative AI models, as well as Intel's data center's reluctance to produce products at cost.

OpenAI was interested in Intel's investment because it would reduce their dependence on Nvidia's chips and allow them to…