# **Google’s Transition from Broadcom: A Fresh Alliance with MediaTek for AI Processors**
For almost ten years, Google has worked alongside Broadcom to create and produce its Tensor Processing Units (TPUs), which are vital for training artificial intelligence (AI) models. However, recent disclosures indicate that Google is now considering a new collaboration with Taiwan-based semiconductor manufacturer MediaTek. This shift could represent a major change in Google’s AI chip strategy, potentially lowering expenses and enhancing efficiency.
## **Ten Years of Partnership with Broadcom**
Since 2015, Google has depended on Broadcom to design its TPUs according to specifications provided by Google. These custom-tailored chips are instrumental in training expansive AI models like Gemini, which support applications including chatbots, code generation, and media production. Furthermore, Google’s TPUs are utilized for inference tasks, aiding services like Google Search and YouTube.
Broadcom has served as a pivotal partner in assisting Google with the development of state-of-the-art AI hardware. Nevertheless, as AI advancements progress and competition escalates, Google seeks ways to economize and enhance manufacturing efficiency.
## **Reasons for Google’s Interest in MediaTek**
As per a report by *The Information*, Google is engaging in discussions with MediaTek to develop its forthcoming generation of TPUs. Several reasons may have prompted this consideration:
1. **Cost Savings** – MediaTek allegedly charges less per chip than Broadcom. Considering that Google invested between $6 billion and $9 billion in its 6th-generation TPUs last year, transitioning to a more affordable supplier could greatly lower costs.
2. **Robust Connections with TSMC** – MediaTek enjoys a solid partnership with Taiwan Semiconductor Manufacturing Company (TSMC), the premier semiconductor foundry globally. This alliance could enable Google to enhance production efficiency and guarantee a reliable chip supply.
3. **Enhanced Design Authority** – Unlike its current setup with Broadcom, Google might assume greater responsibility for the design of its next TPU, including the processor. MediaTek would manage input/output modules, facilitating communication between the primary processors and peripheral devices.
4. **Competitive Edge** – By decreasing its dependence on American chip manufacturers, Google might secure an advantage over rivals such as OpenAI (ChatGPT) and Microsoft, which rely on U.S.-based semiconductor firms.
## **Implications for the Future of AI Processors**
While Google’s potential alliance with MediaTek does not necessarily imply a complete severance of ties with Broadcom, it suggests a strategic move towards diversifying its supply chain. This development could result in:
– **Reduced production costs**, enabling Google to allocate more resources to AI research and development.
– **Accelerated innovation cycles**, as Google gains increased control over chip design.
– **Heightened competition in the AI chip sector**, posing a challenge to leading players like NVIDIA and AMD.
## **Final Thoughts**
Google’s consideration of a partnership with MediaTek signifies a crucial juncture in its AI chip strategy. By expanding its supplier network and optimizing costs, the tech powerhouse aims to bolster its stance in the swiftly changing AI landscape. While the overall consequences of this decision remain to be determined, it is evident that Google is proactively working to maintain its lead in the pursuit of AI dominance.
As additional information becomes available, the industry will closely monitor how this partnership develops and its implications for the future of AI hardware.
