Google Cloud will use AMD's 5th-generation EPYC processors in its new TPU 8tx system instead of its own Axion CPUs. AMD shares rose approximately 13% after the announcement.
AMD shares surged approximately 13% after the company announced on November 9, 2026 that its 5th-generation EPYC processors will power Google Cloud's new TPU 8tx system. The rally came after the PHLX Semiconductor Sector index fell 12% over the past three months.
Google passes over its own Axion chips
The TPU 8tx is Google's newest AI accelerator system, built for sensitive work like inference and reinforcement learning. It uses hardware-enforced confidential computing, so data stays protected while it is being processed.
AMD contributes its Infinity Guard security feature set, built into the EPYC chips. The system relies on AMD CPUs rather than Google's own Axion CPUs, and the stated reasoning centers on AMD's security capabilities for confidential AI deployments.
However, the relationship is not new. AMD's EPYC processors already run several Google Cloud virtual machine families, so the TPU 8tx deal extends an existing partnership.
Data-center revenue keeps growing
AMD's own results show a steadier picture. The company reported $8.5 billion in data-center revenue for the quarter ending September 26, 2026. Its EPYC chips are also deployed across more than 10 hyperscalers and AI labs.
The source says investors watching AMD will want to track whether other hyperscalers follow Google's lead on confidential computing with EPYC.
Source: Crypto Briefing
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