Nvidia Shares Plummet Amid Reports of Meta's Plans to Acquire Google's AI Chips

Nvidia's stock fell on a report that Meta Platforms is negotiating the purchase of Google's Tensor Processing Units (TPUs) for several billion dollars. This suggests that Meta is making progress in developing a rival to Nvidia's most popular AI accelerator chip. Alphabet's stock rose 2.7% after the news, while Nvidia's fell 2.7%. A deal would establish TPUs as a serious alternative to Nvidia's chips, which are currently the standard for large tech companies and startups like Meta and OpenAI. Nvidia remains the clear market leader, however.