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OpenAI Plans to Buy Google's AI Chips, The Information Reports

The deal would give OpenAI another chip source as AI infrastructure spending surges and companies seek alternatives to Nvidia, Reuters reported.

  • On Tuesday, The Information reported that OpenAI plans to buy Google's AI chips, citing a person familiar with the matter as technology companies ramp up spending to meet surging demand for computing.
  • Google developed Tensor Processing Units over a decade ago initially to improve search efficiency, but the chips soon proved valuable for handling AI work and emerged as an alternative to Nvidia's graphics processing units.
  • Richard Ho, who leads OpenAI's internal chip team, previously helped develop Google's TPUs, while Anthropic is among the customers driving demand for Google's Tensor Processing Units.
  • Oracle announced on Tuesday that TPUs would be available through its cloud infrastructure, as Alphabet, Amazon, and Microsoft plan to spend nearly $600 billion combined this year on AI infrastructure.
  • The purchase deepens ties between OpenAI and Alphabet's Google despite their competition in AI products, with Alphabet expecting to recognize a small percentage of TPU revenue by the end of this year.
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Business Wire broke the news in Crystal River, United States on Tuesday, October 27, 2026.
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