AI Daily: China looking to triple output of AI chips in 2026

Catch up on the top artificial intelligence news and commentary by Wall Street analysts on publicly traded companies in the space with this daily recap compiled by The Fly:

AI CHIPS: China’s chipmakers are working to triple the country’s output of AI chips in 2026 in order to reduce its dependence on Nvidia (NVDA), Zijing Wu of The Financial Times reports. One plant dedicated to producing Huawei’s AI processors is expected to begin production at the end of this year while two more are planned to launch next year, two people with knowledge of the plans told the Times.

OPENAI RESTRUCTURING: OpenAI’s corporate restructuring is likely to push into next year as the company negotiates over key terms of its future partnership with Microsoft (MSFT), challenging plans to raise billions of additional dollars in funding, the Financial Times’ George Hammond and Stephen Morris report, citing people with knowledge of the talks.

OpenAI has been in discussions to rewrite an existing commercial contract with Microsoft, which runs into 2030, and a deal would enable the start-up to complete plans for a restructuring allowing investors to hold equity in the business and unlocking a future initial public offering, however there are still key issues the parties need to work out. Failure to reach a deal by December 31 would allow SoftBank (SFTBY) to withhold a $10B commitment to OpenAI under the terms of the conglomerate’s investment.

GENERATIVE AI SOLUTIONS: Domo (DOMO) announced it has signed a strategic collaboration agreement with Amazon Web Services (AMZN) to help mutual customers build AI-powered solutions. The company stated the collaboration will empower organizations to leverage artificial intelligence to create intelligent, autonomous AI agents capable of independently analyzing and executing business processes. Domo AI, including its Agent Catalyst platform, will leverage AWS’s cloud infrastructure and AI capabilities to accelerate adoption.