Nvidia-Google AI chip rivalry escalates on report of Meta talks
Meta is reportedly in talks to use Google’s TPUs in data centres, as the search giant challenges Nvidia’s market dominance
A deal would signal growing momentum for Google’s chips and long-term potential to challenge Nvidia’s market dominance, after the company earlier agreed to supply up to 1 million chips to Anthropic.
Google owner Alphabet is on track to hit a US$4 trillion market valuation for the first time when trading opens in New York on Wednesday. Nvidia’s shares were down about 4 per cent in premarket trading.
Meta was in discussions to use the Google chips – known as tensor processing units, or TPUs – in data centres in 2027, The Information reported, citing an unidentified person familiar with the talks. Meta also might rent chips from Google’s cloud division next year, the news outlet said.
An agreement would help establish TPUs as an alternative to Nvidia’s chips, the gold standard for Big Tech firms and start-ups from Meta to OpenAI that need computing power to develop and run AI platforms.
