Waymo has begun installing a custom silicon chip in its latest generation of robotaxis, reducing its dependence on Nvidia and AMD processors. Alphabet’s autonomous driving unit states this new hardware processes sensor data faster while running the artificial intelligence models required for vehicles to understand their surroundings. The chip delivers over 1,000 TOPS and is manufactured by TSMC using a 5-nanometer process, placing its performance on par with existing Nvidia autonomous driving systems. This shift aims to lower operational costs as the company builds new vehicles with Chinese manufacturer Zeekr. The move represents a strategic step toward vertical integration for a major player in the self-driving sector.
Developing proprietary hardware allows Waymo to optimise chip architecture specifically for its sensor suite and AI stack rather than relying on off-the-shelf solutions. Controlling the silicon supply chain also insulates the business from external vendor pricing pressures and potential component shortages. By standardising its own processing units, the company gains greater control over the efficiency and latency of its fleet operations.
