Synopsys and OpenAI strike revenue-sharing deal to build AI model for chip design

Synopsys, the maker of software used to design computing chips, has struck a deal to share revenue with OpenAI as the two develop an AI model for the chip business, the company announced on Wednesday.

The model, called GPT-Synopsys, will be specifically trained and tuned to take on chip design tasks, from descriptions of a chip’s circuits in a code-like language to laying out billions of transistors on silicon. OpenAI’s model will learn to use Synopsys software tools to help engineers work through the trade-offs and optimisations of the design process.

“To be able to shave off weeks, months from the design process and to bring more chips to the world,” OpenAI co-founder Greg Brockman said in a video announcing the deal.

Under the agreement, OpenAI will pay Synopsys a training subscription fee for learning to use its tools. When Synopsys customers use the product, the two companies will share revenue based on how well the model improves chip design. Chief executive Sassine Ghazi told Reuters the agreement was “not… cannibalizing our business” but “an upside” delivering more value to customers.

Synopsys also raised its forecast to 15% revenue growth for fiscal 2027, above analyst estimates of 11.19%, according to LSEG data. Shares rose as much as 7% after the announcement. Ghazi added that the model’s work will still be double-checked by Synopsys’ traditional verification tools.

Sources

• The Indian Express: https://indianexpress.com/article/technology/tech-news-technology/synopsys-openai-strike-deal-to-develop-ai-model-for-chip-design-work-10901677/
• Channel News Asia (Reuters wire, by Stephen Nellis): https://www.channelnewsasia.com/business/synopsys-openai-strike-deal-develop-ai-model-chip-design-work-6422481