(Reuters) -Alphabet (GOOG, GOOGL) was on track to hit a historic market valuation of $4 trillion on Tuesday, fueled by an impressive year-long rally fueled by the Google parent company’s increased focus on artificial intelligence tools.
The company’s shares rose 4% to around $331 per premarket trade, putting the tech giant on track to hit the key IPO milestone.
The search and ad tech giant joins an elite club of big tech companies racing to dominate this booming technology as AI continues to captivate Wall Street this year.
Meta (META) is in talks to spend billions of dollars on Google’s AI chips, The Information reported, citing an anonymous person familiar with the discussions. The deal would place the chips — known as tensor processing units, or TPUs — in data centers in 2027, the report said. The social media giant could also lease chips from Google’s cloud services unit in 2026, it adds.
The deal, if completed, would underscore Google’s progress in countering Nvidia’s (NVDA) dominance in the chip space as big tech companies scramble to build data centers to meet an expected boom in demand for AI. Meta’s implicit endorsement would go a long way toward establishing Google’s technology as an alternative.
(Reporting by Shashwat Chauhan and Zaheer Kachwala in Bengaluru; editing by Sriraj Kalluvila)
