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Everyone Hates ASIC, But Hyperscalers Want Them

Hyperscalers want customized chips for their data centers. But that’s a tricky proposition for chip vendors looking for volume market opportunities.
Marvell Data Center Cloud Solutions
Marvell Data Center & Cloud Solutions (Image: Marvell Technology)

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By Junko Yoshida

What’s at stake:
Processors that go inside data centers are getting rearchitected, customized and diversified. When hyperscalers develop their own chips, how should chip companies previously serving them respond? Is customization the way to go?

A growing trend for diversification and customization among data-center chips has been driven by hyperscalers — notably Amazon, Google and Meta — who are rolling their own silicon.

Their attempt at an end run around traditional chip designers has sent shivers through the semiconductor industry.

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