Overview
- The Information reported that Meta is discussing deploying Google tensor processing units in its own data centers in 2027 and may rent TPU capacity from Google Cloud as early as next year.
- Alphabet gained in premarket trading as Nvidia fell roughly 3% and AMD slipped, reflecting expectations of shifting AI hardware demand.
- An agreement would position Google’s TPUs as a stronger alternative to Nvidia’s GPUs, aligning with efforts across the industry to reduce reliance on a single supplier.
- Moving TPUs into customer facilities would represent a shift from Google’s historical cloud-only access, building on external wins such as Anthropic’s plan to access up to 1 million TPUs and TPUs powering Gemini 3.
- Google and Meta declined to comment on the talks, and the scope, pricing, and technical details remain unconfirmed; Meta’s heavy AI capex (about $70–$72 billion this year) makes any supplier decision highly consequential.