News of the day
1. Nvidia drops 4% and publicly defends itself after reports that Meta may adopt Google's AI chips, its emerging rival. → Read more
2. Former OpenAI Chief Scientist Ilya Sutskever calls for a new AI learning paradigm, moving beyond larger models to efficient, human-like learning → Read more
3. xAI plans solar farm for its Colossus data center, aiming to supplement power needs while facing scrutiny over natural gas turbine use → Read more
4. Andrej Karpathy's LLM Council project demonstrates a novel AI orchestration architecture, treating models as swappable components for debate and synthesis → Read more
Our take
Hi Dotikers!
It's a rare event in the tech world. This week, Nvidia, the undisputed king of artificial intelligence chips, felt the need to publicly defend itself on social media. The giant, which controls over 90% of the AI chip market, posted a message on X claiming its technology is "a generation ahead" of the competition.
Why this unusual reaction from a company worth over $4 trillion? Two pieces of news shook Wall Street in recent days.
First, according to The Information, Meta (the parent company of Facebook, Instagram and WhatsApp) is reportedly in advanced negotiations with Google to use its in-house chips, the famous TPUs (Tensor Processing Units), in its data centers starting in 2027. Meta could even start renting these chips through Google Cloud as early as next year. This is a potential blow to Nvidia, as Meta is one of its biggest customers.
Second, Google just launched Gemini 3, its new AI model that's generating a lot of buzz. Salesforce CEO Marc Benioff even publicly declared he was abandoning ChatGPT after three years of daily use, impressed by Gemini 3's capabilities. And here's the painful detail: this model was trained entirely on Google's chips, without using a single Nvidia chip.
The immediate result: Nvidia stock dropped as much as 7% during the trading session before stabilizing around -4%, while Alphabet (Google's parent company) climbed for the third consecutive day.
In its response on X, Nvidia tried to downplay the threat while remaining diplomatic: "We're delighted by Google's success, they've made great advances in AI and we continue to supply to Google." But the main message was clear: Nvidia claims to be "the only platform that runs every AI model and does it everywhere computing is done."
This is a symbolic turning point for the industry. For the first time, Nvidia's biggest customers are also becoming its most serious competitors. Google, Amazon and even Microsoft are all developing their own AI chips. The chip king's dominance is no longer a given, and investors are starting to ask questions.
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