Google reportedly ordered over three million custom Tensor Processing Units (TPUs) from Intel. The production agreement is scheduled for 2028. Intel shares surged following the report by The Information.
The deal marks one of the largest production agreements between the two companies in years. Google is moving to diversify its supply chain and reduce reliance on TSMC.
This significant order boosts Intel's contract chip manufacturing business as it aims to regain market leadership. Other major AI players, including Nvidia, are reportedly evaluating Intel's technology for future production.