--- title: "Jim Cramer Sees 'No Real Competitors' to Nvidia, Even as Sam Altman Says OpenAI 'Made a Chip and It Is Fast'" type: "News" locale: "en" url: "https://longbridge.com/en/news/296990329.md" description: "OpenAI unveiled its custom Jalapeño AI inference chip, claiming superior efficiency and lower latency compared to Nvidia's GB200/GB300 chips, potentially reducing AI costs. However, Jim Cramer remains skeptical, stating there are 'no real competitors' to Nvidia despite such claims. OpenAI plans to deploy the chip by late 2026 while continuing to use Nvidia accelerators for training. Nvidia shares rose 2.19% following the announcement." datetime: "2026-08-26T04:33:55.000Z" locales: - [zh-CN](https://longbridge.com/zh-CN/news/296990329.md) - [en](https://longbridge.com/en/news/296990329.md) - [zh-HK](https://longbridge.com/zh-HK/news/296990329.md) generator: "portal-rs" --- # Jim Cramer Sees 'No Real Competitors' to Nvidia, Even as Sam Altman Says OpenAI 'Made a Chip and It Is Fast' **OpenAI** says its new Jalapeño AI chip could significantly reduce the cost of running artificial intelligence by delivering substantially higher efficiency and faster inference, but **Jim Cramer** remains skeptical that the chip threatens **Nvidia Corp’s** (NASDAQ:NVDA) dominance. ## **OpenAI’s Jalapeño Chip Targets Lower AI Costs** On Tuesday, OpenAI said Jalapeño, its first custom inference chip developed with **Broadcom Inc.** (NASDAQ:AVGO), is designed to deliver both high throughput and low latency—two areas that are typical trade-offs. > Since announcing Jalapeño, our first custom inference chip, we’ve been testing it and the system around it. > > The results show a major advance: more intelligence from every watt and faster responses, delivering both higher throughput and lower latency in one architecture without… pic.twitter.com/vj7VOrA8pP > > — OpenAI (@OpenAI) August 25, 2026 The company plans to begin deploying Jalapeño within its infrastructure by the end of 2026, with production expected to ramp further in 2027. OpenAI is already working on second- and third-generation versions, OpenAI hardware Vice President **Richard Ho** told reporters, according to The Verge. However, OpenAI does not view Jalapeño as an outright Nvidia replacement. The company said it will continue deploying accelerators from Nvidia and other partners for training and inference. OpenAI CEO **Sam Altman** took to X  and said, "We made a chip and it is fast." > we made a chip and it is fast > > — Sam Altman (@sama) August 25, 2026 **Read Also: Nvidia Earnings Could Trigger a Chilling Reality Check For $1 Trillion AI Boom, Says Analyst: 'Biggest Thing I Am Watching…'** ## **Jalapeño Beats Nvidia on AI Inference Benchmarks: OpenAI** OpenAI’s own benchmark results showed Jalapeño delivering 1.5x to 1.9x more AI work per watt and 1.7x to 3.6x lower end-to-end latency than comparison systems based on Nvidia’s **GB200** and **GB300** chips across **GPT-OSS 120B**, **DeepSeek R1** and **Kimi K2.5 1T**. The chip is designed specifically for inference, or the process of running trained AI models to generate responses and complete tasks. OpenAI’s **InferenceX** benchmarks show Jalapeño outperforming Nvidia’s GB200 and GB300 across all three AI models, with higher performance per watt and significantly lower latency and token-to-token time. | AI Model | NVIDIA Comparison | Peak Performance Per Watt | End-to-End Latency | Minimum TBT | | -------------------- | ----------------- | ------------------------- | ------------------ | -------------- | | **GPT-OSS 120B** | GB200 | **1.9x higher** | **1.7x lower** | **2.7x lower** | | **DeepSeek R1 670B** | GB300 | **1.7x higher** | **3.6x lower** | **4.1x lower** | | **Kimi K2.5 1T** | GB300 | **1.5x higher** | **3.4x lower** | **3.8x lower** | *Source: OpenAI* Nvidia did not immediately respond to Benzinga’s request for comment. ## **OpenAI’s Jalapeño Chip Could Lower AI Costs** In a conversation with Bloomberg TV, Ho said performance per watt could be 1.8x to 4x better than existing chips, potentially allowing the company to lower the cost of serving AI models as Jalapeño scales into production. "Ultimately, when this rolls out into production, customer token prices should come down," Ho said. > OpenAI says its new Jalapeño chip could dramatically cut the cost of AI. > > The company's VP of hardware Richard Ho says performance per watt is 1.8x to 4x better than existing chips – potentially translating into cheaper tokens for customers as it rolls into production… pic.twitter.com/0kMqHNGu95 > > — Bloomberg TV (@BloombergTV) August 25, 2026 ## **Jim Cramer Dismisses Nvidia Challenger Claims** Cramer, however, isn’t convinced another custom AI chip will seriously challenge Nvidia. "Every day I read about some chip that is superior to Nvidia. And every year I see no real competitors," Cramer said in a post on X. > Every day i read about some chip that is superior to Nvidia. And every year i see no real competitors > > — Jim Cramer (@jimcramer) August 25, 2026 **Price Action:** Nvidia shares closed at $213.05, up 2.19% on Tuesday. The stock rose another 0.31% to $213.70 in after-hours trading, according to Benzinga Pro. According to **Benzinga Edge Rankings**, Nvidia ranks in the 99th percentile for growth and maintains positive price trend ratings across the short, medium and long term. ***Disclaimer*:** *This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors.* **Read Also: Nvidia Enters Earnings on Its Worst Losing Streak Since 2022 as Jim Cramer Prepares 'a Truckload' of Questions** *Photo Courtesy: katz / Shutterstock.com* ### Related Stocks - [NVDA.US](https://longbridge.com/en/quote/NVDA.US.md) - [NVD.US](https://longbridge.com/en/quote/NVD.US.md) - [NVDB.US](https://longbridge.com/en/quote/NVDB.US.md) - [NVDQ.US](https://longbridge.com/en/quote/NVDQ.US.md) - [NVDX.US](https://longbridge.com/en/quote/NVDX.US.md) - [NVDY.US](https://longbridge.com/en/quote/NVDY.US.md) - [NVDG.US](https://longbridge.com/en/quote/NVDG.US.md) - [NVDU.US](https://longbridge.com/en/quote/NVDU.US.md) - [NVDL.US](https://longbridge.com/en/quote/NVDL.US.md) - [NVDS.US](https://longbridge.com/en/quote/NVDS.US.md) - [NVDD.US](https://longbridge.com/en/quote/NVDD.US.md) - [NVDO.US](https://longbridge.com/en/quote/NVDO.US.md) - [NVDW.US](https://longbridge.com/en/quote/NVDW.US.md) - [NVYY.US](https://longbridge.com/en/quote/NVYY.US.md) - [NYYY.US](https://longbridge.com/en/quote/NYYY.US.md) - [DIPS.US](https://longbridge.com/en/quote/DIPS.US.md) - [MAGX.US](https://longbridge.com/en/quote/MAGX.US.md) - [SMH.US](https://longbridge.com/en/quote/SMH.US.md) - [SOXX.US](https://longbridge.com/en/quote/SOXX.US.md) - [SOXL.US](https://longbridge.com/en/quote/SOXL.US.md) - [SOXQ.US](https://longbridge.com/en/quote/SOXQ.US.md) - [XSD.US](https://longbridge.com/en/quote/XSD.US.md) - [PSI.US](https://longbridge.com/en/quote/PSI.US.md) - [FTXL.US](https://longbridge.com/en/quote/FTXL.US.md) - [07388.HK](https://longbridge.com/en/quote/07388.HK.md) - [07788.HK](https://longbridge.com/en/quote/07788.HK.md) - [09388.HK](https://longbridge.com/en/quote/09388.HK.md) - [AVGO.US](https://longbridge.com/en/quote/AVGO.US.md) - [NVD.DE](https://longbridge.com/en/quote/NVD.DE.md) ## Related News & Research - [AMD or Nvidia: Load Up on One AI Chip Stock, but Avoid the Other, Says Investor](https://longbridge.com/en/news/296792383.md) - [Nvidia to use Poolside deal to build alternative to Chinese AI, WSJ says](https://longbridge.com/en/news/296727449.md) - [NVIDIA Corporation Denies Report on Launching China-Customized AI Chip Before Year-End](https://longbridge.com/en/news/296549715.md) - [Bankers are shopping Hugging Face at triple the price it gave Nvidia](https://longbridge.com/en/news/296947134.md) - [Alibaba Gives Nvidia's Older AI Chips an Unexpected Vote of Confidence](https://longbridge.com/en/news/296532983.md) --- > **Disclaimer: This article is for reference only and does not constitute any investment advice.**