Google confirmed last month that it’s going with custom Samsung-manufactured Tensor-branded chips for the upcoming Pixel 6, following Apple’s lead. Well, it seems that the search giant is wanting to move away from Intel and develop custom silicone for its Chromebooks as well.
According to Nikkei Asia (behind paywall), which cites unnamed sources, Google is also developing arm-based custom chips for Chromebook Per Nikkei Asia’s sources, chips will roll out for its Chrome OS as soon as 2023.
“In an ideal scenario, using one’s own chips also means better software and hardware integration,” said Eric Tseng, chief analyst with Isaiah Research told Nikkei Asia in an interview. Nikkei Asia is also reporting that Google is hiring chip engineering talent from Intel, Qualcomm and Mediatek to accommodate this new initiative.
Google is banking on a couple of wins to push it ahead. Many smartphone brands use Android OS and Chrome OS, which is licensed to major computer manufacturers like HP, Dell, Acer and Lenovo. The company is pushing Pixel suppliers to increase production capacity by 50% compared to 2019. Google released 7 million Pixel phones in 2019, but the pandemic interrupted sales.
Tech giants like Amazon, Facebook, Microsoft and Tesla are already building semiconductors for its services and products, proving in-house processor chips are becoming a competitive advantage. Leading the chip trend is Apple, who successfully created semiconductor components for its iPhones to replace Intel components for its Mac line of computers and laptops.
The giants are currently the only companies with the resources to do in-house chip production. Peter Hanbury of management consultancy firm Bain & Co., told Nikkei Asia that designing a state-of-the-art 5-nm chip costs $500 million. In comparison, older tech such as 28-nm costs around $50 million.
Nikkei Asia reached out to Google but it declined comment.
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