Synopsys and OpenAI have signed a multi-year deal to jointly develop GPT-Synopsys, an AI model purpose-built for chip design.

Announced on September 30, the partnership will train OpenAI’s frontier models to use Synopsys’ electronic design automation tools the way expert engineers do, from describing circuits to laying out billions of transistors.

The agreement includes a revenue-sharing arrangement. OpenAI will pay Synopsys a training subscription fee, and the two will split revenue based on how much the model improves chip designs for customers.

Synopsys CEO Sassine Ghazi told Reuters the deal would not cannibalise the company’s business and would instead be an upside by delivering more value to customers.

OpenAI co-founder Greg Brockman said the model could shave weeks or months off the design process. Synopsys also raised its fiscal 2027 revenue growth forecast to 15 per cent, sending shares up about 7 per cent.

Why it matters: if AI can design chips faster, everything from phones to data centres gets cheaper and quicker to build.