Google has reportedly bought a startup created by former members of PA Semi who jumped ship when the company was bought by Apple – sparking talk of the internet giants building its own server processors or even considering launching its own tablet.

According to Fudzilla, Google has snapped up AgniLux, and will probably be tasking the chip specialists with designing a more efficient processor for its thousands of servers.

However, with Chrome OS coming, suggestions of a Google tablet have inevitably started – something that looks highly unlikely.

Not hardware makers

Eric Schmidt reiterated several times through his speech at the Atmosphere Cloud Computing that Google was not looking to make the hardware for Chrome OS devices, merely offering the operating system.

Google hardware does exist, of course, although the Nexus One is made by HTC, which might well suggest that a Google branded Chrome OS device is not out of the bounds of possibility.

In the meantime, the purchase of a chip design team is much more likely to be focused on Google's continuing search for more efficient server farms.

However, just before we drain all the fun out of the story, should Google dip its toe into chip production then the prospect of Google hardware in the long term would certainly be more likely, if still straining credibility.

Via Fudzilla