Broadcom's CEO Hock Tan has repeatedly revised up his target for AI semiconductor revenue, aiming for $12bn for this year. Based on this, it is estimated that Google's TPUs could account for somewhere between $6bn – close to Omdia's existing estimates - and $9bn, depending on the breakdown between compute and networking devices. This figure includes a substantial number of Meta's MTIA chips, with a project for a mysterious third client expected to ramp up in 2025.
Alexander Harrowell, Principal Analyst at Omdia noted: "Even though there is some uncertainty in the exact ratio between compute and networking devices, shipments of TPUs, even at the lower $6bn estimate, are growing at a pace fast enough to take share from NVIDIA for the first time. It's worth noting that Google's Cloud Platform business continues to grow as a share of Google's revenue while improving profitability. This could indicate that TPU-accelerated instance types or AI products running on TPUs are driving the growth at Google Cloud, especially as accelerator instance types are high-margin products."
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