A Tensor Processing Unit (TPU) is Google’s custom application-specific integrated circuit (ASIC) designed to accelerate machine learning workloads, particularly tensor operations in deep neural network training and inference. Built around a systolic array architecture for highly efficient matrix multiplication, TPUs prioritise throughput and power efficiency over general-purpose flexibility, and have been instrumental in training large-scale models such as BERT, PaLM, and Gemini.
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Definition
Tensor Processing Unit (TPU) is Google’s custom-developed application-specific integrated circuit (ASIC) designed specifically to accelerate machine learning workloads, particularly TensorFlow operations. TPUs use a specialized architecture based on systolic arrays for matrix multiplication, prioritizing throughput and power efficiency over flexibility, and have been instrumental in training and serving some of the world’s largest AI models including BERT, GPT-3, and PaLM.
Architecture Overview
Systolic Array:
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2D grid of multiply-accumulate units
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Data flows through array in synchronized waves
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Highly efficient matrix multiplication
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Minimal data movement (energy efficient)
Design Philosophy:
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Domain-specific (not general-purpose)
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Optimized for dense linear algebra
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High throughput over low latency
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Reduced precision (BF16, INT8)
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Large on-chip memory
Key Components:
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Matrix Multiply Unit (MXU): systolic array core
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Vector Processing Unit (VPU): element-wise ops
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High Bandwidth Memory (HBM)
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Scalar units for control flow
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Interconnects for multi-chip scaling
TPU Generations
TPU v1 (2016 - Inference Only):
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First generation, inference-only
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92 TOPS (INT8)
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8-bit integer operations
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28nm process
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Deployed in Google data centers
TPU v2 (2017 - Training):
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Training and inference
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45 TFLOPS per chip (BF16)
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16GB HBM memory
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180 TFLOPS per TPU Pod (4 chips)
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bfloat16 precision
TPU v3 (2018):
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420 TFLOPS per chip (BF16)
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32GB HBM
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Liquid cooling required
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8x performance vs. v2
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TPU Pods up to 1024 chips
TPU v4 (2021):
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275 TFLOPS per chip (BF16)
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2.6x performance-per-watt vs. v3
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Optical circuit switches (OCS)
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Pods up to 4096 chips
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10x performance vs. v3 at Pod scale
TPU v5e (2023 - Cost-Optimized):
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Cost-efficient training/inference
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197 TFLOPS (BF16)
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Pods up to 256 chips
TPU v5p (2023 - Performance):
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459 TFLOPS per chip (BF16)
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95GB HBM
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4x performance vs. v4
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World’s largest AI supercomputer (TPU v5p Pods)
TPU Pod Architecture
Pod Configuration:
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Interconnected TPU chips
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High-speed custom interconnect (ICI)
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Pod slices: 8, 16, 32, 64, 128, 256, 512, 1024+ chips
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Torus/mesh network topology
Pod v4:
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4096 chips per Pod
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1.1 exaFLOPS (BF16)
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Optical circuit switches (reconfigurable)
Pod v5p:
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8960 chips per Pod
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~4 exaFLOPS (BF16)
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Largest publicly disclosed AI supercomputer
BFloat16 (Brain Floating Point)
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16-bit floating point format
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Same range as FP32 (8-bit exponent)
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Reduced precision (7-bit mantissa)
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Developed by Google for deep learning
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Avoids overflow/underflow issues of FP16
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Now industry standard
Software Stack
TensorFlow:
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Native support (developed together)
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XLA compiler optimizes for TPU
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Automatic graph optimization
JAX:
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High-performance numerical computing
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Functional API
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JIT compilation
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Excellent TPU support
PyTorch:
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PyTorch/XLA bridge
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Growing TPU support
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Lags behind TensorFlow
Cloud TPU:
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Google Cloud Platform offering
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Pay-per-use (preemptible and on-demand)
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Integration with GKE, Vertex AI
Performance Characteristics
Strengths:
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High throughput for large matrix ops
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Energy efficient (vs. GPUs)
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Excellent scaling to Pod level
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Fast inter-chip communication
Limitations:
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Less flexible than GPUs
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Requires TensorFlow/JAX (limited ecosystem)
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Not suitable for all workloads
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Smaller on-chip memory than latest GPUs
Notable Models Trained on TPU
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BERT: Transformer pre-training
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T5: Text-to-Text Transfer Transformer
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PaLM: 540B parameter language model (6144 TPU v4)
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Gemini: Google’s multimodal AI model
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AlphaGo/AlphaZero: Reinforcement learning
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Imagen: Text-to-image generation
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Minerva: Mathematical reasoning
TPU vs. GPU Comparison
Aspect TPU v5p NVIDIA H100 Architecture Systolic array (ASIC) CUDA cores + Tensor cores FP16/BF16 459 TFLOPS 989 TFLOPS (BF16) Memory 95GB HBM 80GB HBM3 Power ~450W 700W Flexibility Lower (domain-specific) Higher (general GPU) Ecosystem TensorFlow/JAX primary CUDA (mature) Cost $4-8/hour (Cloud) $2-4/hour (Cloud) Use Cases
Ideal For:
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Large-scale transformer training
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High-throughput batch inference
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Research with TensorFlow/JAX
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Cost-sensitive training
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Google Cloud ecosystem
Not Ideal For:
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Low-latency single queries
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PyTorch-first workflows
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Specialized algorithms (not matmul-heavy)
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On-premise deployment (not available)
Cloud TPU Pricing (Approximate)
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TPU v2: $1.35/hour
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TPU v3: $2.40/hour
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TPU v4: $2.50-5.00/hour
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TPU v5e: $1.50-3.00/hour
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TPU v5p: $6-12/hour
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Preemptible: 50-70% discount
Energy Efficiency
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1.7x-2.7x more efficient than comparable GPUs (per Google)
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Lower total cost of ownership for large workloads
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Critical for Google’s AI services at scale
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Industry-leading FLOPS/watt
Competitive Landscape
Alternatives:
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NVIDIA GPUs (dominant, more flexible)
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AWS Trainium/Inferentia (training/inference)
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AMD MI300 series
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Graphcore IPU
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Cerebras WSE
TPU Advantages:
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Integrated into Google Cloud
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Proven at massive scale (Google internal use)
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Cost-effective for large workloads
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Strong software integration (TensorFlow)
Systolic Array Deep Dive
How It Works:
- Weights pre-loaded into array
- Activations stream through rows
- Partial sums propagate through columns
- Minimal data movement
- High utilization
Efficiency:
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Data reuse (weights stay stationary)
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Predictable performance
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Simple control logic
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Scales well
Limitations and Challenges
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Ecosystem lock-in: TensorFlow/JAX dependency
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Availability: Google Cloud only (no on-premise)
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Flexibility: Less suitable for non-matmul workloads
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Debugging: Less tooling vs. NVIDIA
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Community: Smaller than CUDA
Research Impact
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Enabled Google’s AI research at scale
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Influenced industry (BF16 adoption)
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Demonstrated ASIC viability for AI
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Inspired competitors (AWS, Microsoft custom chips)
Future Directions
Expected Improvements:
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Continued performance scaling (6-12 month cadence)
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Larger memory capacity
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Better PyTorch support
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Edge TPU evolution (inference)
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Integration with quantum systems
Industry Trends:
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More companies developing custom AI ASICs
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Hyperscalers investing in proprietary silicon
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TPU demonstrates economic viability
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Shift from general-purpose to specialized hardware
Edge TPU (Separate Product Line)
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ASIC for edge inference
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Small form factor (coin-sized)
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4 TOPS (INT8)
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2W power consumption
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Coral Dev Board and USB Accelerator
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TensorFlow Lite support
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IoT and embedded AI
Tensor Processing Units represent Google’s strategic bet on custom silicon for AI, achieving world-leading performance and efficiency for machine learning workloads while demonstrating that domain-specific architectures can challenge general-purpose GPUs in the AI hardware landscape.
Current Landscape (2026)
- Google shipped its sixth-generation TPU Trillium (v6e) to general availability on 12 December 2024, delivering ~918 BF16 TFLOPS per chip (a 4.7x peak-compute uplift over v5e), 32 GiB HBM at 1.64 TB/s and a third-generation SparseCore; it was used to train Gemini 2.0.
- The seventh-generation TPU Ironwood (v7), announced at Google Cloud Next on 9 April 2025 and reaching general availability in late 2025, is Google’s first inference-optimised TPU with native FP8 hardware: 4,614 FP8 TFLOPS and 192 GB HBM3e per chip at 7.37 TB/s, scaling to 9,216 liquid-cooled chips per pod for 42.5 FP8 ExaFLOPS and roughly 2x the perf-per-watt of Trillium.
- At Cloud Next 2026 Google unveiled its eighth-generation parts, TPU 8t (training) and TPU 8i (inference), claiming around 80% better performance-per-dollar than the prior generation, with general availability targeted for the second half of 2026.
- Anthropic’s landmark TPU commitment (announced 23 October 2025 for up to one million TPUs and over a gigawatt of capacity in 2026) was tripled on 24 April 2026 to roughly 3.5 GW of next-generation TPU capacity co-designed with Broadcom, alongside a Google investment of up to $40 billion in Anthropic - the clearest signal yet of TPUs becoming a merchant-silicon alternative to Nvidia rather than a cloud-only offering.
- Google is increasingly productising TPUs beyond its own cloud: a first tranche of roughly 400,000 Ironwood chips is being sold as finished racks directly to Anthropic via Broadcom (~5 billion in initial equity toward 500 MW of capacity by 2027.
- On economics, SemiAnalysis estimates the total cost of ownership of a TPU v7 server is roughly 44% lower than an Nvidia GB200 server (about 30% lower for Anthropic renting via GCP even after Google and Broadcom margins), narrowing the price-performance gap while Nvidia still holds an estimated ~81% of the data-centre AI-chip market.
- Key open challenges as of 2026 remain the software moat and lock-in: Ironwood is effectively JAX-only, TPUs historically could not be bought as standalone hardware and were accessible only by renting Google Cloud capacity, and multi-cloud labs such as Anthropic still hedge across Google TPUs, AWS Trainium and Nvidia GPUs for supply-chain resilience.
References
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- Google (2025). Ironwood: The first Google TPU for the age of inference. https://blog.google/innovation-and-ai/infrastructure-and-cloud/google-cloud/ironwood-tpu-age-of-inference/
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- AI Wiki (2026). Trillium (TPU v6e). https://aiwiki.ai/wiki/google_trillium
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- Introl (2025). Google TPU Architecture: 7 Generations Explained. https://introl.com/blog/google-tpu-architecture-complete-guide-7-generations
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- Pillitteri, P. (2026). Nvidia vs Google TPU: How the AI Chip Competition Is Changing the Market. https://pasqualepillitteri.it/en/news/1441/nvidia-vs-google-tpu-anthropic-ai-chip-2026
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- SemiAnalysis via Futu News (2025). SemiAnalysis Provides In-Depth Analysis of TPU - Google’s Challenge to Nvidia. https://news.futunn.com/en/post/65577736/semianalysis-provides-in-depth-analysis-of-tpu-google-s-challenge