Google Develops AI Chip for Gemini With 6x-10x Higher Power Efficiency, Planned for 2028 Launch

According to TechCrunch, on July 20 Alphabet announced development of a server chip designed for Gemini that is expected to launch in 2028 with 6x to 10x greater power efficiency than its current Tensor Processing Unit (TPU v7), measured by tokens generated per unit of power. Google did not formally confirm the report but said its teams are researching new projects. The improved efficiency metric, tokens per watt, links energy consumption to AI output, making it a practical measure of inference cost and infrastructure efficiency.

Alphabet separately guided US$175 billion to US$185 billion in 2026 capital spending, citing compute capacity and power constraints as bottlenecks. Alphabet shares rose approximately 3% following the announcement.