Google is chipping away at chip giant Nvidia’s lead in AI.

Nvidia’s shares fell Tuesday after The Information reported that Meta is in talks to use Google’s AI-specialized chips — an alternative to Nvidia’s — for its data centers. It comes shortly after praise for Google’s latest Gemini AI model, which may “be a subtler but more important version of the DeepSeek disruption,” one trader said, referring to the Chinese AI startup that sent Nvidia shares tumbling. Google’s AI vertical integration makes it a “combination of OpenAI and Microsoft with a bit of Nvidia thrown in,” The Wall Street Journal wrote.

Long seen as a laggard in AI, Google is “a sleeping giant that is now fully awake,” an analyst said.