Alphabet Orders Three Million AI Chips From Intel
Alphabet has reportedly ordered over three million tensor processing units from Intel for delivery in 2028 as tech giants seek alternatives to TSMC. The deal bolsters Intel's contract manufacturing business while Nvidia evaluates using Intel technology for its own advanced processors.
ALPHABET INC-CL A has ordered over three million in-house AI chips from INTEL CORP for production in 2028. The deal marks a major win for INTEL CORP as it attempts to reclaim the manufacturing leadership lost to Taiwan-based rivals. For investors, the order validates the foundry turnaround and signals a shift by Big Tech to diversify away from concentrated supply chains.
### Breaking the TSMC Monopoly Google is tapping INTEL CORP to manufacture its custom Tensor Processing Units (TPUs) as a capacity crunch at TSMC limits global supply. NVIDIA CORP is also evaluating technology to package four graphics chips into a single unit, though no formal order has been placed. These moves follow a preliminary deal between INTEL CORP and APPLE INC reported last month to produce components for consumer devices.
