Memory crisis
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Sam Altman Thinks You're Wasting DRAM
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2 min read
OpenAI CEO Sam Altman said that distributing limited DRAM capacity across personal computers for infrequent use is less efficient than concentrating memory in cloud data centers. In an interview with Cheeky Pint, Altman said many people expect open-source AI models to make local inference practical and reduce the need for data-center memory, but argued that cloud infrastructure can achieve higher utilization when memory supplies are constrained. Altman said the industry should seek “maximum utilisation in the cloud” and characterized DRAM sitting in individual computers and used only part of the time as a poor global allocation of a limited resource. The source says memory prices have risen alongside AI infrastructure demand and that Micron announced plans to leave consumer memory production, with the company describing AI data-center needs as essential compared with consumer use. Altman also said OpenAI is designing a custom AI processor called Jalapeno. He said the chip is being designed by AI for AI and argued that constrained global silicon capacity should be directed toward AI systems that could produce major technical advances, including potential efficiency gains or discoveries comparable in importance to the transistor.