Google — Gemini 3.5 Launch, TPU Custom Silicon Threat, Blackstone Partnership

Google I/O unveils Gemini 3.5 with 4x faster processing and 1B MAU; cost per token increased 22.5x for Flash 3.5, signaling monetization pivot. Blackstone partners with Google Cloud for TPU infrastructure, expanding custom silicon ecosystem beyond Google Cloud. TPU 8t/8i with 2.8x better price/performance continues to threaten NVDA's hyperscaler share. Q1 22% rev, Cloud +63%/$460B backlog; $91-93B capex; $40B Anthropic bet; Waymo $126B valuation optionality. Agentic AI push with Gemini Flash 3.5 and Omni models reinforces distribution advantage.