Shares of Nvidia and Broadcom both getting a lift after Google raises its Cappex

forecast by $10 billion to $85 billion for this year.

Our Christina parts of Nevelos explains why in today's tech check, Christina, once again,

this race is getting even hotter.

Yeah, and the chip name stand to benefit.

Google's ramped up Cappex, which means pouring cash into servers and data centers, is boosting shares of Broadcom today up almost 1.5%.

The two, Google and Broadcom, have teamed up since 2016, to build Google's AI chips for advanced computing, also known as TPUs, tensor processing units.

But reports suggest Google and Meta might pivot to Taiwanese custom

chip designer MediaTech for cheaper AI chips. Digitimes, which is quite popular in the chip world,

says Meta's eyeing media tech for an AI inference chip by 2027. The information adds Google's

exploring media tech as well. Analyst Daniel Newman tells me Broadcom still very much in the mix for Google's high-end chips,

but MediaTech's cost advantage could pressure margins and signal tougher competition in Customs Silicon in the next few years.

And this isn't just Broadcom's problem.

It also spells trouble for Nvidia, too.

Custom chips, or also known as ASICs,

can be more efficient for specific data center tasks.

Invidia's GPUs offer flexibility,

but as AI workloads mature,

companies may prioritize speed and cost over versatility.

Invidia's CEO, Jensen Wong,

dismisses the threat in public at least. In March at GTC, Jensen Wong, dismisses the threat in public, at least.

In March at GTC, their tech event, he said, quote, the A6 still has to be better than the best.

...