Check out this NYT article.
“Beyond servers, there are signs that Google is now designing its own microchips. The company has hired many of the engineers responsible for the Digital Equipment Corporation’s well-regarded Alpha chip….”
I am curious to see if this ever turns out to be true or another mere speculation. There was an article in the recent Businessweek about Google’s lack of hit services/solutions besides search. Sometimes it appears that there is some method to Google product strategy madness, but very often it doesn’t. This is one more instance of lack of it.