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Google partners with MediaTek for next-gen TPU, shifting orders from Broadcom

Google partners with MediaTek to develop its next-gen Tensor Processing Unit (TPU), shifting production from Broadcom to MediaTek at TSMC next year, enhancing its AI capabilities and reducing reliance on NVIDIA chips. Google reportedly spent $6-$9 billion on TPU last year.

Key points

  • Google is collaborating with MediaTek for the next-gen TPU development.
  • Production is set to start at TSMC in the next year.
  • This partnership allows MediaTek to gain TPU design service orders previously held by Broadcom.
  • The shift to MediaTek is part of Google's strategy to bolster its AI capabilities.
  • Google's TPUs are considered pivotal for its competitive edge in AI, particularly against NVIDIA.
  • In the previous year, Google's expenditure on TPU development ranged from $6 billion to $9 billion.

Why it matters

  • The partnership aligns with 2025 IT trends focusing on AI processing capabilities.
  • Shifting from Broadcom to MediaTek demonstrates a trend of companies diversifying their supply chains.
  • This development reflects increasing investments by tech firms in proprietary hardware to gain competitive advantages.

This strategic partnership with MediaTek illustrates Google’s commitment to enhancing its AI infrastructure and reducing dependence on external chip manufacturers, marking a significant shift in the tech landscape.