Nvidia, a major player in the chip industry, reacted defensively on social media after a report suggested that Meta might shift some of its AI infrastructure to Google's Tensor Processing Units (TPUs). This news caused Nvidia's stock to drop over 2.5%, while Alphabet's shares rose, driven by positive reviews of its new Gemini 3 AI model. Google is trying to expand its TPU offerings to external companies, which could intensify competition with Nvidia, whose GPUs currently dominate the AI accelerator market. Nvidia emphasized its leadership in AI technology in a post on X, asserting that it remains a generation ahead of the competition and is essential for running all AI models across various computing environments. Despite Google making strides with its TPUs, Nvidia aims to reassure investors and clients of its ongoing relevance and capability in the AI landscape. Portfolio manager Brian Kersmanc noted that Google’s proprietary chips are now viewed as a legitimate alternative to Nvidia's GPUs, especially since Google utilized its TPUs to train its latest AI model rather than Nvidia’s GPUs. Historically, Google’s AI chips were seen primarily as tools for its own operations, lacking the broad market impact of Nvidia’s general-purpose GPUs, which hold over 90% of the AI accelerator market share. Nvidia’s response highlights a shift in the competitive dynamics, as Google’s advancements in AI technology could challenge Nvidia’s dominance if TPUs gain wider acceptance among major companies.