Google is set to introduce its most advanced AI chip to date, aiming to challenge NVIDIA's dominance in the AI chip market by offering custom silicon solutions. The tech giant's latest move targets the growing demand for AI infrastructure among companies.

On November 6, reports revealed that Google's seventh-generation Tensor Processing Unit (TPU), codenamed Ironwood, will be available to the public market in the coming weeks. The chip was initially released for testing and deployment in April.

Ironwood can connect up to 9,216 chips into a single cluster, eliminating "data bottlenecks for the most demanding models" and enabling customers to "run and scale the largest, most data-intensive models available." This development marks a significant step in Google's competition with Microsoft, Amazon, and Meta in AI infrastructure.

While most large language models and AI workloads rely on NVIDIA's GPUs, Google's TPUs offer advantages in cost, performance, and efficiency as custom silicon. AI startup Anthropic plans to use up to one million of the new TPUs to power its Claude model.

Google's recent earnings report showed its cloud business revenue surged 34% year-over-year to $15.15 billion in Q3. The company also raised its 2025 capital expenditure forecast to $93 billion, up from $85 billion, to meet soaring demand.

**Fourfold Performance Leap, Major Clients Onboard** Ironwood, entirely developed in-house by Google, is designed for tasks ranging from large-scale model training to real-time chatbots and AI agents. Google claims the chip delivers over four times the performance of its predecessor.

TPUs, optimized specifically for AI workloads, differ from NVIDIA's GPUs. Key clients like Anthropic have already adopted the chip, highlighting its appeal for high-end AI applications.

Google also rolled out cloud service upgrades to enhance affordability, speed, and flexibility, competing with larger rivals Amazon AWS and Microsoft Azure.

**Strong Cloud Growth, Record Deal Volumes** Google Cloud continues to show robust growth, with Q3 revenue rising 34% year-over-year, outpacing AWS's 20% but trailing Azure's 40%.

The company disclosed that the number of $1 billion+ cloud deals signed in the first nine months of 2025 exceeded the total from the previous two years, reflecting surging corporate demand for its AI infrastructure.

CEO Sundar Pichai emphasized during the earnings call:

*"We see strong demand for AI infrastructure products, including both TPU- and GPU-based solutions. This has been a key growth driver over the past year, and we expect sustained demand. We are investing to meet this need."*

The statement underscores Google's long-term commitment to AI chips. As Microsoft, Amazon, and Meta ramp up AI infrastructure investments, Google's custom silicon strategy provides a competitive edge in the race.