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Speaker 1: Bloomberg Audio Studios, podcasts, radio news, The.

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Speaker 2: Stock Movers Report, your roundup of companies making moves in

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Speaker 2: the stock market. Harnessing the power of Bloomberg Data.

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Speaker 1: Let's take a look at some stocks on the move today.

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Speaker 1: I'm Nathan Hager, joined by Bloomberg's Dan Curtis on a

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Speaker 1: very interesting morning in the Magnificent seven. Two of those

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Speaker 1: names seem to be battling for supremacy at the moment. Dan,

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Speaker 1: Good morning.

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Speaker 3: Good morning. That's right. The battle going on right now

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Speaker 3: is between Alphabet, which is better known as Google tick

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Speaker 3: er ggogl. Those shares are up four percent It's recent

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Speaker 3: rival in Vidia. Those shares are down four percent. The

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Speaker 3: Information has reported that Meta is and Talks has spend

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Speaker 3: billions of dollars on Google's TPUs, a specialized chip used

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Speaker 3: for AI computing. Meta is said to be talking about

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Speaker 3: renting the chips next year, putting them into data centers

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Speaker 3: in twenty twenty seven. Now, this is going to be

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Speaker 3: a very key concept for markets today about kind of

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Speaker 3: the difference between these two units. So I just want

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Speaker 3: to take a quick moment to note what they are.

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Speaker 3: So in Nvidia, this is the world's largest company by

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Speaker 3: market cap over four trillion dollars. It's known for creating

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Speaker 3: something called a graphic processing unit. It's a circuit that's

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Speaker 3: good at multiple calculations at once, and they are used

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Speaker 3: in AI centers, but they are also used in other

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Speaker 3: things such as gaming, creating videos, crypto mining. This TPU

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Speaker 3: the new chip from Alphabet, a tensor processing unit. It's

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Speaker 3: a much more specialized circuit. It's good for complex, complex

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Speaker 3: mathematical calculations that are needed for AI. It doesn't have

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Speaker 3: many other uses. Or to put another way, a GPU

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Speaker 3: is the Ferrari. It's a very fast car, but you

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Speaker 3: can also drive it on the road. A TPU is

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Speaker 3: a Formula one car. You can only use it. You

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Speaker 3: can only use it on the racetrack. You can't take

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Speaker 3: it to the grocery store. It's also not much use

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Speaker 3: if you're not land a Norse. So you really it's

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Speaker 3: a very very very specific chip. And that's kind of

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Speaker 3: and that's what's driving so much of the market this morning.

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Speaker 3: So we have this this meta, this hyperscaler that's kind

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Speaker 3: of coming in. It's putting its money in on this chip.

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Speaker 3: It's helping boost Alphabet. Now Alphabet not only has this

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Speaker 3: TPU that's made, but it just released Gemini three, a

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Speaker 3: new AI system that's taking on chat GPT came out

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Speaker 3: last week. It's gone really good reviews sent Alphabet up really,

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Speaker 3: really really high to record levels, up another four percent today.

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Speaker 3: So right now the market is kind of questioning with

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Speaker 3: this new chip in store, what's the outlook for in video?

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Speaker 3: What's the outlook for you know, orders that are down

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Speaker 3: the line this twenty twenty seven date, which is when

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Speaker 3: Meta is looking to start putting in. It's the Alphabet chips.

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Speaker 3: So it's really it's a massive, massive driver to the

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Speaker 3: entire equity market this year and today. It's really driving

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Speaker 3: this differentiation between Alphabet and in video. There's a few

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Speaker 3: other stocks that are moving off of this too. You

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Speaker 3: have AMD. This makes GPUs, just like in video, down

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Speaker 3: four percent. Broadcom another one, worth highlighting up three percent,

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Speaker 3: is a major supplier for Alphabet.

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Speaker 1: All right, Well, lots to keep on top of as

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Speaker 1: that little battle Royale continues. In the meantime, we got

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Speaker 1: earnings from Ali Baba this morning and investors seem to

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Speaker 1: be taking those quite well.

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Speaker 3: Yeah they are. It's up four percent. It's the Chinese

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Speaker 3: company pretty similar to say Amazon with the cloud business

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Speaker 3: logistics and e commerce platform, the Cloud Intelligence unit. It's

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Speaker 3: been benefiting from AI demand, thirty four percent rise in

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Speaker 3: sales compared to last year. It's AI related product revenue

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Speaker 3: saw triple digit growth. That's really driving the shares hire

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Speaker 3: this morning. And it also has a new quick Commerce group,

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Speaker 3: which is basically delivery, you know, getting stuff to customers

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Speaker 3: with an hour. That was a sixty percent growth. So

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Speaker 3: stock is up, you know, a good four percent this morning,

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Speaker 3: already up ninety percent this year. So really just another

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Speaker 3: beneficiary from this AI plate.

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Speaker 2: This stock movers report from Bloomberg Radio. Check back with

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Speaker 2: us throughout the day for the latest roundup of companies

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Speaker 2: making news on Wall Street and for the latest market

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Speaker 2: the Bloomberg Business app. Mm hmm