Report: Amazon to come with own networking chip

Amazon appears to be working on a dedicated silicon chip for its hardware network switch. This chip helps set up the company’s internal infrastructure and AWS (Amazon Web Services).

According to TheInformation (Via TheVerge), the chip that the e-commerce giant is working on is the result of a $ 350 million acquisition from Israeli chipmaker Annapurna Labs in 2015. In addition, the company is working on a chip-making switch for you products to help solve bottlenecks and infrastructure problem. It will be even more useful if you also create special software for further optimization.

Amazon is currently building its own switches, but is relying on Broadcom to provide silicon to power this chip. It should come as no surprise, then, that companies are eager to control and build their own silicon, especially given the scale and importance of their web services. In particular, moving away from the company also allowed it to offer services it couldn’t previously offer thanks to the new switch.

Unfortunately, this is still an unconfirmed report. So take it with a pinch of salt, but this isn’t the first time the company has made its own silicone product. Previously, in collaboration with MediaTek, the company has developed a chip for its Echo smart speaker that allows the Alexa voice assistant to react more quickly. It therefore makes sense for companies to go to great lengths to build their own silicon to power the backbone of its network infrastructure.

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