Altman Says Cloud Data Centers Should Make Better Use of RAM

Sam Altman said people keeping large amounts of computer memory in their own devices was a poor use of limited supplies, arguing that data centers can put the hardware to work more consistently. The OpenAI CEO made the remarks during a recent appearance on Cheeky Pint, a video show hosted by Stripe president John Collison, while discussing shortages of DRAM, a type of memory used in computers and other electronics.

Altman said many users keep memory in their computers while using it only a small fraction of the time. In contrast, he argued, cloud systems can achieve higher utilization, particularly while supply is constrained. He was discussing local inference, or running AI models on a personal computer, and the view that open-source models could reduce the need for data-center computing.

The comments drew criticism online, with some viewers saying Altman’s position favored AI companies’ access to memory over consumers’ ability to use it in their own devices. Others pointed to the role of large technology companies’ purchasing commitments in tightening supply. Major memory makers have signed long-term agreements with cloud operators and projects including OpenAI’s Stargate, reserving substantial production for coming years.

Limited memory supplies have contributed to higher costs for computers, phones and other electronics. Altman also said people are increasingly willing to try AI tools to improve how they work. OpenAI’s spending plans and the resources required for its AI operations have faced growing scrutiny.