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Headlining this week is our report on how smart software utilization may play a part in the electricity consumption of AI data centers. We sat down and talked with experts in the domain to find out.
Software could be the easiest fix for hyperscalers' AI power squeeze, researchers say — data center demand is expected to rival Japan's electricity usage by 2030
Reports state that Tencent has reached a deal to lease high-performance AI chips from Oracle to the tune of $7 billion over five years. While the figure on its surface sounds significant, the estimated lease price is around 43% less than an Nvidia H100 leased at $2.80 per hour on a one-year contract, meaning that Tencent may have scored a slight coup in the terms of its lease agreement. While no specific chips have been named, the size of the deal and the prices point toward a Hopper-class GPU. We explored how this rental loophole may be used by Chinese firms to potentially gain access to otherwise export-controlled hardware.
Tencent scores 100,000 offshore AI chip deal with Oracle for $7 billion despite climbing prices — per-hour costs estimated to be 43% under standard H100 rental rates
If you cast your minds back to last week, Synopsys revealed a slew of new agreements and partnerships; one of the most notable among them was an agreement with OpenAI, unveiling a 'GPT-Synopsys' — a specialized AI model that leverages Synopsys' domain IP knowledge and EDA tools, with OpenAI's capability to design LLMs. GPT-Synopsys is, in all likelihood, a chipmaking-specialized AI model, which may play a part in the development of successors to OpenAI's Jalapeño AI ASIC . As we've previously explored, AI models designing chips will likely run into hurdles surrounding IP usage, which become a non-factor if both AI labs and IP holders decide to team up in a manner such as this, setting the stage for chip design's agentic future.
OpenAI and Synopsys partner to build "GPT-Synopsys" for autonomous chip design — specialized AI model will operate EDA tools, allowing engineers to deliver more sophisticated chips faster
Neon is a noble gas that's widely used in the DUV chipmaking process, with over 70% of global supply being used by the now-older lithography machines. Crude neon production has usually been focused in Ukraine, and ever since the advent of the country's ongoing conflict with Russia, global supply has been disrupted. Now, companies are racing to bring neon gas recycling systems to market in order to make the most of supplies. Japanese lithography toolmaker Gigaphoton and rival Kanten Techno have both developed machines that recycle the material at varying degrees of success. While DUV lithography remains a primary focus for the Chinese chipmaking ecosystem, the material is not widely used in the newer EUV systems that many leading-edge nodes currently utilize.
This week on Tom's Hardware Premium: October 3, 2026
Key considerations
- Investor positioning can change fast
- Volatility remains possible near catalysts
- Macro rates and liquidity can dominate flows
Reference reading
- https://www.tomshardware.com/tech-industry/SPONSORED_LINK_URL
- https://www.tomshardware.com/tech-industry/this-week-on-toms-hardware-premium-october-10-2026-tencent-grabs-bargain-chips-qualcomm-huawei-ip-deal-groq-lawsuit-and-more#main
- https://www.tomshardware.com/my-account
- This is the cheapest 4TB SSD for Prime Day at only 10 cents per gigabyte
- How NVIDIA GPUs Help Accelerate OpenAI’s GPT-6 Astra Ultrafast
- PC shipments tumble over 20% in 3Q26 as chip shortages bite
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- Top AI labs reportedly planning for catastrophic AI event fallout
Informational only. No financial advice. Do your own research.