meta, google and nvidia Updates

The artificial intelligence sector is currently experiencing significant shifts, particularly in the competitive landscape for AI chips. Meta Platforms is reportedly planning a multi-billion-dollar deal to acquire tensor processing units (TPUs) from Alphabet, a strategic move to reduce its reliance on Nvidia's dominant graphic processing units (GPUs). This potential partnership, which saw Meta's stock rise 3.8% on Tuesday, positions Alphabet as a stronger contender in the AI hardware market, challenging Nvidia's near-monopoly. Meta is one of Nvidia's largest customers, second only to Microsoft, making this diversification a notable development. Alphabet's stock has surged, moving closer to a US$4 trillion valuation, fueled by optimism surrounding its AI tools and chip capabilities, including its new Gemini AI model. The company's advertising revenue increased 12.6% to $74.18 billion, and Google Cloud revenue rose 33.5% to $15.15 billion in Q3. Meanwhile, Nvidia, despite its strong position with 90% of the data center chip market and a 66% jump in data center revenue to $51.2 billion in Q3 fiscal 2026, saw its shares fall 2.6% following reports of Meta's potential deal with Alphabet, indicating increased competition. Beyond chip rivalry, companies are actively integrating AI into their operations for efficiency and growth. HP Inc. plans to cut between 4,000 and 6,000 jobs as part of a cost-cutting strategy that incorporates AI, aiming for $1 billion in savings over three years and a 16% productivity boost. Noah Holdings reported a strong third quarter in 2025, with non-GAAP net income increasing over 50%, partly due to progress in its AI projects and global expansion. Recruitment giant Adecco is partnering with Salesforce to launch r.Potential, an AI venture designed to help executives effectively use AI tools, with 300 large clients already showing interest. Investor sentiment remains largely bullish on AI, contributing to a 5.4% return for CPP Investments in its fiscal second quarter, boosting its asset value to C$777.5 billion. US stock indexes also closed strong for Thanksgiving, driven by AI optimism. HSBC predicts the global AI market will reach $10.9 trillion by 2030. Autonomous vehicle developer Pony AI is also attracting significant investor interest, with strong bullish options trades predicting its stock could trade between $12.0 and $20.0. However, some investors, like David Green of the Hotchkis & Wiley Value Opportunities Fund, are finding value in less hyped sectors, focusing on undervalued companies with strong fundamentals.

Key Takeaways

• Meta Platforms is considering a multi-billion-dollar deal to purchase AI processors (TPUs) from Alphabet to reduce its reliance on Nvidia's GPUs.
• Nvidia, which holds 90% of the data center chip market, reported $51.2 billion in data center revenue in Q3 fiscal 2026, a 66% increase, but faces new competition from Alphabet.
• Alphabet's stock is nearing a US$4 trillion valuation, driven by its AI tools and chip capabilities, with advertising revenue up 12.6% to $74.18 billion and Google Cloud revenue up 33.5% to $15.15 billion in Q3.
• Microsoft is currently Nvidia's largest customer for AI chips, ahead of Meta.
• HP Inc. plans to cut 4,000 to 6,000 jobs and adopt AI to achieve $1 billion in savings over three years, expecting a 16% productivity boost.
• Adecco is partnering with Salesforce to launch r.Potential, an AI venture aimed at helping executives utilize AI tools, with 300 large clients expressing interest.
• Pony AI, an autonomous vehicle developer, shows strong bullish investor interest, with predictions for its stock to trade between $12.0 and $20.0.
• CPP Investments reported a 5.4% return in its fiscal second quarter, increasing its asset value to C$777.5 billion, largely due to investor optimism about artificial intelligence.
• Noah Holdings saw its non-GAAP net income increase over 50% in Q3 2025, partly driven by progress in its artificial intelligence projects.
• HSBC predicts the global AI market will expand to $10.9 trillion by 2030.

Meta Considers Alphabet AI Chips to Challenge Nvidia

Meta Platforms stock rose 3.8% on Tuesday after reports from The Information. Meta is reportedly planning a multi-billion-dollar deal to buy AI processors, called TPUs, from Alphabet. This move could help Meta reduce its reliance on Nvidia's GPUs, which currently dominate the AI hardware market. Diversifying its chip suppliers could give Meta more cost-effective performance and reduce Nvidia's pricing power.

Meta Explores Alphabet AI Chips to Diversify from Nvidia

Meta Platforms stock gained 3.8% on Tuesday following news of a potential AI chip deal. The Information reported that Meta plans to buy tensor processing units (TPUs) from Alphabet in a multi-billion-dollar order. This move would help Meta diversify its AI hardware away from Nvidia's graphic processing units (GPUs). Meta is currently one of Nvidia's biggest customers, second only to Microsoft. This partnership could mark a significant shift in the AI processor market.

Meta May Buy Alphabet AI Chips Challenging Nvidia

Meta Platforms stock rose 3.8% on Tuesday following reports of a major AI chip deal. The Information stated that Meta plans to purchase tensor processing units (TPUs) from Alphabet. This multi-billion-dollar order would help Meta reduce its dependence on Nvidia's GPUs, where Meta is a top customer, trailing only Microsoft. This strategic move could bring more competition to the AI hardware market and offer Meta better performance for its AI applications.

Nvidia and Alphabet Shine as Top AI Stock Picks

SoundHound AI stock dropped 43% in 2025, leading investors to consider other AI options. Nvidia remains a strong choice, with its powerful GPUs driving AI growth and holding 90% of the data center chip market. Nvidia's data center revenue jumped 66% to $51.2 billion in Q3 fiscal 2026. Alphabet also stands out by using AI to improve its search, advertising, and Google Cloud services. Its advertising revenue grew 12.6% to $74.18 billion, and Google Cloud revenue rose 33.5% to $15.15 billion in Q3. Both companies show strong growth and dominant positions in the AI sector.

Investors Favor Nvidia and Alphabet Over SoundHound AI

SoundHound AI stock has fallen 43% in 2025, causing investor concern about an AI bubble. Experts suggest Nvidia and Alphabet as more stable AI investments. Nvidia dominates the AI hardware market with its GPUs, reporting $51.2 billion in data center revenue in Q3 fiscal 2026, a 66% increase. Alphabet uses AI to boost its advertising, search, and Google Cloud services, with advertising revenue up 12.6% to $74.18 billion. Both companies show strong financial performance and leadership in the AI space.

Big Investors Bet Bullish on Pony AI Stock Options

Big investors are showing strong bullish interest in Pony AI, with Benzinga's scanner spotting 10 options trades. These trades included 9 calls totaling $593,011 and only 1 put for $26,600, indicating 100% bullish sentiment from large traders. They predict Pony AI's stock could trade between $12.0 and $20.0. Pony AI develops autonomous vehicles and operates driverless robotaxis in major Chinese cities like Beijing and Shanghai. A Citigroup analyst recently gave Pony AI a Buy rating with a target price of $24.

CPP Investments Sees Strong Q2 Growth from AI Optimism

CPP Investments reported a 5.4% return for its fiscal second quarter, increasing its asset value to C$777.5 billion. This growth was mainly driven by strong public equities and investor excitement about artificial intelligence. Resilient company earnings and expectations for easier money policies also helped. Credit, private equity, infrastructure, and energy investments also performed well, along with a strong US dollar. John Graham, CEO, noted that while markets are strong, CPP Investments remains focused on long-term pension stability.

Alphabet Nears 4 Trillion Dollars as Nvidia Faces AI Chip Rivalry

On Tuesday, Alphabet's stock rose over 1%, moving closer to a US$4 trillion valuation due to optimism about its AI tools and chip capabilities. In contrast, Nvidia's shares fell 2.6%, dropping further below its US$5 trillion mark. This shift happened after reports that Meta Platforms might spend billions on Google's AI chips, showing increased competition for Nvidia. This month, Alphabet is up about 15%, while Nvidia is down roughly 12%, as investors rethink leadership in the AI market.

HP Cuts 6000 Jobs Adopting AI for Cost Savings

HP Inc plans to cut between 4,000 and 6,000 jobs as part of a new cost-cutting strategy that includes adopting artificial intelligence. CEO Enrique Lores announced this plan alongside Q4 results, aiming for $1 billion in savings over three years. The company will use AI to improve customer service, product development, and operations, hoping to boost productivity by 16% as seen with internal AI PC use. HP also faces challenges from rising memory prices, which could impact personal system margins in the second half of its financial year.

Value Investor David Green Finds Bargains Beyond AI Hype

David Green, manager of the Hotchkis & Wiley Value Opportunities Fund, focuses on undervalued companies instead of popular AI stocks. His fund, with $767 million in assets, seeks businesses like Workday, Ericsson, and U-Haul that have strong market positions and balance sheets but lower valuations. Since it started, the fund has returned 12.5% annually, outperforming both the Russell 3000 Value Index and the S&P 500. Green believes that while AI stocks are soaring, opportunities exist in less glamorous sectors for disciplined value investors.

Noah Holdings Sees Profit Surge with AI and Global Growth

Noah Holdings announced a strong third quarter in 2025, with its non-GAAP net income increasing over 50% compared to last year. This growth was driven by a focus on investment products and better profit margins, even though insurance revenues were softer. The company also made progress with its artificial intelligence projects and expanded its business globally. A strong balance sheet supports Noah Holdings' plans for future growth.

US Stocks Rise for Thanksgiving Fueled by AI Optimism

US stock indexes closed strong for Thanksgiving, with S&P 500 futures up 0.25% and Nasdaq up 0.4%. Alphabet's stock surged, adding nearly $1 trillion in market value over six weeks, thanks to its new Gemini AI model. Reports suggest Meta Platforms might buy or rent Alphabet's AI chips, showing a potential shift in the AI hardware market away from Nvidia. HSBC also predicted the global AI market will reach $10.9 trillion by 2030. Other companies like Deere & Co. and Abercrombie & Fitch also reported positive news.

Adecco Launches AI Venture r.Potential Amid Investor Concerns

Recruitment giant Adecco is partnering with Salesforce to launch r.Potential, a new AI venture designed to help executives use AI tools effectively. Adecco's CEO believes there is a gap between available AI products and their practical use, with 300 large clients already showing interest in r.Potential. However, Adecco's stock dropped over 7% as investors worry that automation could reduce demand for traditional staffing services. The company aims to lower its net debt by the end of 2027, leading to concerns about its dividend.

Sources

• Meta Is Reportedly Exploring a Massive AI Chip Deal. Is This Good News for Its Stock?
• Meta Is Reportedly Exploring a Massive AI Chip Deal. Is This Good News for Its Stock?
• Meta Is Reportedly Exploring a Massive AI Chip Deal. Is This Good News for Its Stock?
• Should You Forget SoundHound and Buy 2 Artificial Intelligence (AI) Stocks Instead?
• Should You Forget SoundHound and Buy 2 Artificial Intelligence (AI) Stocks Instead?
• Unpacking the Latest Options Trading Trends in Pony AI
• Public Equities, AI Investor Optimism Fuel CPP Investments’ 5.4% Q2 Return
• Alphabet climbs toward $4T as Nvidia slides on rising AI-chip competition
• HP to sack up to six thousand staff under AI adoption plan
• Finding Bargain Stocks In AI’s Shadow
• Noah Holdings: Profitability and investment product growth surged, with AI and global expansion accelerating
• U.S. stock indexes power to a big Thanksgiving close
• Adecco Bets On AI While Investors Sweat The Risks