Meta's in-house AI chip 'Iris' to enter production in September 2026, shares rise ~6%

Published Jul 11, 03:01 AM UTC

Meta Platforms shares rose about 6% after Reuters reported the company will begin manufacturing its own data-center AI chip, code-named Iris, in September 2026. The chip was designed with Broadcom and will be built by Taiwan Semiconductor Manufacturing. Meta plans to launch a new chip every six months through 2027, a faster cadence than the industry norm. The company aims to bring 7 gigawatts of computing capacity online this year and double it to 14 gigawatts by 2027. Iris will augment rather than replace GPUs from Nvidia and AMD. Meta's first-quarter revenue grew 33% year-over-year to $56.3 billion, with a 41% operating margin. The article notes that while Nvidia remains central to Meta's plans, in-house chips could eventually pressure Nvidia's pricing. Meta raised its 2026 capital expenditure forecast to support this build-out.