Google expects no change in its relationship with AI chip supplier Broadcom

FILE PHOTO: A smartphone with a displayed Broadcom logo is placed on a computer motherboard in this illustration taken March 6, 2023. REUTERS/Dado Ruvic/Illustration/File Photo

(Reuters) - Alphabet's Google said on Thursday it does not see any change in its relationship with Broadcom following a media report the tech giant considered dropping the chipmaker as a supplier of artificial intelligence chips as early as 2027.

Broadcom shares pared losses after falling as much as 4.3% following The Information's report Google will design the chips - called tensor processing units - in-house if it decided to go ahead with the plan and could potentially save billions of dollars in costs annually.