Hajra Naz
Alphabet, Google’s parent company, is developing a new AI server chip. The company hopes it will make its Gemini AI models faster and more efficient.
According to The Information, the chip is internally known as Frozen v2. The report says it could launch in 2028. It also claims the new chip may be six to ten times more efficient than Google’s current AI chips. That efficiency is measured by how many AI tokens the chip can generate while using the same amount of power.
Google did not directly confirm the report. However, the company also did not deny it.
In a statement, Google said its teams are always testing new ideas and technologies. The company said it continues to research ways to improve both performance and efficiency for users and customers.
Google also explained that not every experimental project reaches production. Even so, the research plays an important role in its long-term strategy.
The company said it develops both hardware and software together. This approach allows its systems to work more smoothly. It also helps optimize performance for real-world AI workloads.
Many AI companies are now designing their own chips. The goal is to make their AI models run faster while reducing operating costs. Custom chips can also help companies deal with the global shortage of AI computing hardware.
Read More: Google’s Gemini Becomes One of the World’s Largest AI Apps With 750M Users
Efficiency has become increasingly important in the AI industry. Investors are paying closer attention to how much companies spend on AI development. As a result, technology firms are under pressure to deliver better performance while using fewer resources.
Another reason companies are building their own chips is to reduce their dependence on Nvidia. The chipmaker has dominated the AI hardware market for years. Because of that dominance, many leading AI companies still rely heavily on Nvidia’s processors.
Several major AI companies have already started moving in that direction.
In June, OpenAI introduced its first custom AI chip. The inference processor is called Jalapeño. Earlier this month, reports also suggested that Anthropic is discussing a new chip partnership with Samsung.
Alphabet has also faced questions from investors about its growing AI budget.
Earlier this year, Google announced plans to spend between $180 billion and $190 billion to strengthen its AI strategy. That is a massive investment. Investors now want to see clear returns from that spending.
The report about the Frozen v2 chip appears to have eased some of those concerns.
After The Information published its report, Alphabet’s shares moved higher. The company’s stock rose by about 3% on Monday morning.
The report came just days before Google’s earnings announcement. Investors will be watching closely. They want updates on the company’s AI strategy, custom chips, and future spending.
