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Google’s Gemini 3, TPU Momentum and NvidiaMicrosoftAnthropic Pact Recast the AI Pecking Order

Investor reappraisal follows rising confidence in Google’s models plus custom silicon.

Overview

  • Google released Gemini 3, with early benchmark reports indicating it outperforms OpenAI’s GPT‑5.1 across several multimodal tests.
  • Reports say Google is advancing TPU v7p/Ironwood and is in talks for Meta to rent TPU capacity in 2026 and deploy TPUs in its data centers by 2027 in a multibillion‑dollar arrangement.
  • Alphabet’s market value has surged by roughly $1 trillion since mid‑October, narrowing the gap with Nvidia as Nvidia and AMD shares slipped on renewed competition concerns.
  • Microsoft and Nvidia unveiled a roughly $350 billion strategic partnership with Anthropic, with Nvidia agreeing to supply AI hardware to the OpenAI rival.
  • OpenAI confirmed completion of its first AI device prototypes with Jony Ive, with executives indicating production could start in about two years as competition for users and compute intensifies.