Amazon is creating a chip for artificial intelligence: report

Amazon.com Inc. AMZN, 2.04% is creating its own chip for artificial-intelligence tasks that could help power its various hardware pieces, according to a new report from The Information. The report, which cites a person familiar with Amazon's plans, said that Amazon's chip will be designed to help its voice-enabled products more efficiently handle tasks, "by allowing more data processing to be handled on the device than in the cloud." Apple Inc. AAPL, 1.00% and Alphabet Inc. GOOGL, -0.04% are also working on their own AI chips, the report said, in what could ultimately come to hurt traditional chip makers like Nvidia Corp. NVDA, 2.02% whose graphics processing units have proven useful for AI tasks. Amazon shares are up 0.9% in Monday morning trading and 64% over the past 12 months. The S&P 500 Index SPX, 0.26% has gained 14% in that time.