Google, just like various other technology giants, has been ramping up chip investments as companies are moving ahead to incorporate generative artificial intelligence (AI) applications like ChatGPT in their systems. The company, however, is also eyeing to save billions by reportedly dropping Broadcom as a supplier of AI chips.
is taking this year as it plays catch-up with Microsoft (MSFT.O) for domination of the booming market for generative AI applications such as ChatGPT.
According to a report by The Information, Google has discussed fully designing AI and dropping Broadcom as chip supplier following a standoff between the company and Broadcom over the price of the TPU chips.
“Google executives have extensively discussed dropping Broadcom as a supplier of artificial intelligence chips as early as 2027. In that scenario, Google would fully design the chips, known as tensor processing units, in-house,” the report quoted a person with direct knowledge of the effort, as saying.
It added that this move could help Google save billions of dollars in costs annually at a time it is investing heavily in AI development. AI computing is pricey compared to other types of computing.
“Google executives set a goal earlier this year to ditch Broadcom following a monthslong standoff between the companies over the price Broadcom was charging for the TPU chips,” the person said.
Marvell Technology may replace Broadcom
The publication also claimed that Google has also been working to replace Broadcom with Marvell Technology as the supplier for chips that connect servers to ethernet switches in its data centres.
Broadcom is seen as the second-biggest winner from the generative AI boom after Nvidia, however, AMD has also been investing in developing AI chips.
Google Tensor chips in Pixel phones
The news comes as Google is reportedly working to fully-develop its own Tensor chips for Pixel phones. The plans to ditch Samsung and move to TSMC were reportedly postponed for a year after the search giant reportedly missed the bus to include it “in 2024’s Pixel 9 series.”
is taking this year as it plays catch-up with Microsoft (MSFT.O) for domination of the booming market for generative AI applications such as ChatGPT.
According to a report by The Information, Google has discussed fully designing AI and dropping Broadcom as chip supplier following a standoff between the company and Broadcom over the price of the TPU chips.
“Google executives have extensively discussed dropping Broadcom as a supplier of artificial intelligence chips as early as 2027. In that scenario, Google would fully design the chips, known as tensor processing units, in-house,” the report quoted a person with direct knowledge of the effort, as saying.
It added that this move could help Google save billions of dollars in costs annually at a time it is investing heavily in AI development. AI computing is pricey compared to other types of computing.
“Google executives set a goal earlier this year to ditch Broadcom following a monthslong standoff between the companies over the price Broadcom was charging for the TPU chips,” the person said.
Marvell Technology may replace Broadcom
The publication also claimed that Google has also been working to replace Broadcom with Marvell Technology as the supplier for chips that connect servers to ethernet switches in its data centres.
Broadcom is seen as the second-biggest winner from the generative AI boom after Nvidia, however, AMD has also been investing in developing AI chips.
Google Tensor chips in Pixel phones
The news comes as Google is reportedly working to fully-develop its own Tensor chips for Pixel phones. The plans to ditch Samsung and move to TSMC were reportedly postponed for a year after the search giant reportedly missed the bus to include it “in 2024’s Pixel 9 series.”
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Deepak Sen is a tech enthusiast who covers the latest technological innovations, from AI to consumer gadgets. His articles provide readers with a glimpse into the ever-evolving world of technology.
