Alphabet Designing New AI Server Chip 'Frozen v2' for Gemini Models
Quick Look
- Alphabet, Google's parent company, is developing a new server chip, 'Frozen v2,' for its in-house Gemini AI models, slated for a 2028 release.
- The chip aims for 6-10x efficiency improvement, addressing the need for better performance and reducing reliance on Nvidia amidst rising AI expenditures.
AI-generated summary
Why It Matters
AI companies are increasingly developing their own chips to enhance efficiency and reduce reliance on external chipmakers like Nvidia, which has historically dominated the AI chip market. This trend is driven by concerns over AI spending and global shortages in computing capacity.
Alphabet, Google’s parent company, is designing a new server chip to help its in-house Gemini models operate more efficiently.
The new chip, internally dubbed “Frozen v2,” is slated to be released sometime in 2028, The Information reported, citing anonymous sources. According to the report, the chip could be between six and 10 times more efficient than Google’s existing AI chips, measured by the number of tokens generated per unit of power.
In a response to TechCrunch, the company didn’t directly confirm the report. It didn’t deny it either.
“Our teams are constantly researching and experimenting with new innovations to deliver maximum performance and efficiency for our users and customers,” Google told TechCrunch. “While not every project moves into production, this rigorous exploration is central to our full stack approach. By co-designing our hardware and software from the ground up, we ensure our systems are integrated and highly optimized for real-world workloads.”
AI companies have increasingly sought to produce their own chips as a way to make their in-house models run more efficiently and to address global shortages in AI computing capacity. Such efficiency has become a key selling point for tech companies as concerns about AI spend have dampened the market euphoria that previously characterized the industry. At the same time, firms are engaged in an ongoing attempt to wean themselves off chipmaker Nvidia, which has historically dominated the AI chip market and whose dominance has left major AI makers dependent on its hardware.
In June, OpenAI announced its first custom chip, an inference processor dubbed Jalapeño. Earlier this month, it was reported that Anthropic was discussing a new chipmaking partnership with Samsung.
Investors have previously worried about Alphabet’s massive planned expenditures designed to help it build out its AI strategy. Earlier this year, Google said that it plans to spend between $180 billion and $190 billion. With so much money at stake, the company needs to prove that those investments will pay off.
What to Watch
AI outlook — possibilities, not facts
Alphabet will release its 'Frozen v2' server chip in 2028.
Likely · Within years
Open Questions
- What are the exact technical specifications of 'Frozen v2'?
- How will 'Frozen v2' impact Google's overall AI strategy and profitability?
- What is the specific cost of developing 'Frozen v2'?
