Meta Platforms has reportedly agreed to a multibillion-dollar deal to rent artificial intelligence (AI) chips from Google Cloud.

The chips, known as Tensor Processing Units (TPUs), are designed by Google specifically for AI workloads. Meta plans to use them to train and run its next-generation large language models, the systems behind advanced AI tools and chatbots.

Right now, the AI chip market is largely dominated by Nvidia, whose graphics processing units (GPUs) power most AI applications worldwide. However, Google’s TPUs are seen as a strong and potentially lower-cost alternative.

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