Google Just Shook Up the AI Race Again — And Everyone’s Watching
Google has dropped another surprise in the fast-moving AI race, and its biggest rivals are paying very close attention.
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Nvidia: “We’re happy for Google… but our chips are still king.”
On November 25, Nvidia posted on X that it’s “very happy” about Google’s progress and will keep supplying the company.
Then came the subtle elbow:
Nvidia said its GPUs offer better performance, flexibility, and scalability than Google’s custom ASIC chips.
Translation: Nice work, Google, but don’t get too comfortable.
OpenAI and Salesforce CEOs also give Google credit
OpenAI CEO Sam Altman congratulated Google for Gemini 3, calling it an impressive model.
Salesforce CEO Marc Benioff went even further. After trying Gemini 3, he wrote that he’s “not going back to ChatGPT,” praising the leap in reasoning, speed, image quality, and video generation.
According to him, “It feels like the world just changed again.”
And that’s coming from a long-time ChatGPT super-fan.
Meta is now talking to Google about buying its chips
According to The Information, Meta is in discussions to purchase Google’s Tensor chips.
This comes after Anthropic said in October that it plans to rely more heavily on Google’s technology.
So the battle isn’t just about AI models anymore.
It’s now about AI chips, the hardware backbone of the whole industry.
The market reacted too
Last week, Google’s stock jumped almost 8%.
Nvidia dipped slightly over 2%.
The stakes here are far bigger than bragging rights or a few cloud deals.
The companies shaping AI will also shape the retirement funds, investment portfolios, and savings of millions worldwide.
Why Google suddenly looks like the frontrunner
Gemini is one of the world’s most widely used AI chatbots.
Google is a hyperscaler—one of the handful of companies capable of offering massive cloud computing power.
Google has used AI in Search, Translate and other products since the early 2000s.
Still, Google had a rough wake-up call when ChatGPT exploded in 2022.
Reports say Google internally issued a “Code Red.”
Today, Gemini 3 leads major benchmarks in text generation, image editing, image processing, and text-to-image tasks, beating ChatGPT, xAI’s Grok, and Anthropic’s Claude.
Within 24 hours of launch, over a million developers tested Gemini 3 across Google’s tools.
The real fight: Tensor vs. GPU
Google started making its Tensor chips long before the current AI boom.
But Nvidia still dominates AI hardware, reporting 62% year-over-year sales growth and 65% profit growth last quarter.
Here’s the breakdown:
Nvidia/AMD GPUs:
Extremely powerful
Built for large-scale AI training
Supported by a rich software ecosystem
Widely adopted across the industry
Google’s Tensor ASICs:
Custom-built for specific AI workloads
Efficient and fast
Can train and run AI models
More cost-friendly for certain tasks
Google won’t replace Nvidia anytime soon.
But companies exploring Google’s ASICs (and AMD’s GPUs) show a clear intention:
They want to reduce dependence on Nvidia.
What’s next
This AI race has become a balance of power.
Google has momentum with Gemini 3 and Tensor chips.
Nvidia remains the hardware king.
OpenAI, Meta, Anthropic and xAI are reshaping strategy every month.
One thing is certain:
AI isn’t just another tech trend.
It’s the blueprint for the next global economy. Whoever leads this wave will influence everything—from startups to Wall Street to everyday savings accounts.
