Intel partners with Google Cloud to co-develop custom data center processors optimized for hyperscale workloads.

Intel Corp. and Alphabet Inc.'s Google Cloud announced on Wednesday that they have collaborated to create a new category of chip that Intel hopes will become a major seller in the booming cloud computing market. This partnership represents a significant development in the competitive landscape of cloud infrastructure.

The new chip, called Mount Evans, will be sold to others beyond Google, reflecting Intel's broader ambitions to establish the technology as a standard offering in the industry. The collaboration demonstrates how leading technology companies are working to develop specialized hardware tailored to the evolving demands of cloud computing operations.

The creation of Mount Evans reflects the operational model that defines modern cloud computing providers. These companies construct massive data centers filled with powerful physical computers and then sell virtual slices of those machines to other businesses. This approach allows client organizations to achieve better cost efficiency and performance than would be possible if they built and maintained computing infrastructure themselves.