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Waymo unveils custom AI chip for robotaxis to cut Nvidia reliance

Alphabet’s autonomous vehicle unit develops in-house chip with over 1,000 TOPS performance, produced on TSMC’s 5nm process to enhance sensor processing and AI model execution.

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Sophie Laurent · FX & Rates Desk · 20 Aug 2026 · 17:00 · 1 min read
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Waymo unveils custom AI chip for robotaxis to cut Nvidia reliance

Alphabet’s autonomous vehicle unit Waymo has designed and built a custom application-specific integrated circuit (ASIC) chip for its latest-generation robotaxis, reducing reliance on third-party suppliers such as Nvidia.

The chip, currently in production, is engineered to process sensor data at higher speeds and execute AI models more efficiently, improving vehicle reflexes and navigational capabilities in complex urban environments. Waymo stated the ASIC delivers performance exceeding 1,000 trillion operations per second (TOPS), matching the capabilities of Nvidia’s latest autonomous driving systems.

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Manufacturing of the chip is handled by Taiwan Semiconductor Manufacturing Co. (TSMC) using its 5-nanometer process technology. The move aligns with Alphabet’s broader initiative to develop custom silicon to manage rising AI computing infrastructure costs while potentially lowering vehicle production expenses and enabling more spacious passenger cabins.

The development underscores the intensifying competition among automakers and technology firms to control core components of autonomous driving systems, particularly as the industry shifts toward in-house chip design to reduce dependence on external suppliers.

This article was produced with AI assistance and edited by a Finance Review Daily journalist.
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Written by
Sophie Laurent
FX & Rates Desk

Sophie covers currency markets and central bank policy across Europe, with a focus on how rate decisions ripple through FX pairs. She has been tracking the ECB's policy path since the start of the current easing cycle.

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