Bloomberg is reporting that Google is mulling the idea of designing its own server processors, using technology from ARM. The report cites a source who points out that the move could help Google better manage the interface between its hardware and software.
It also points out that the move would threaten Intel's market dominance, given Google is its fifth largest customer. For its part, Google is non-committal:
"We are actively engaged in designing the world's best infrastructure. This includes both hardware design (at all levels) and software design."
ARM-based chips have taken off massively in the mobile sector, but are yet to penetrate the server market. AMD has already announced that it has plans to start using ARM architecture.
Google's already expressed some interest in chips -- in August it joined a group which licenses technology used in data centres, including chips for servers -- but it remains to be seen if interest can actually convert to genuine output. Let's wait and see. [Bloomberg]