Anthropic in talks with Google for $10B cloud computing deal

Artificial-intelligence firm Anthropic is currently in discussions with Google, a subsidiary of Alphabet Inc., about striking a $10 billion deal that would enable the AI firm to acquire more computing power, according to sources familiar with the ￰0￱ remain competitive in the cloud computing industry, the sources pointed out that the deal, which is still being worked out, would have the tech giant offering cloud computing services to ￰1￱ is not Google’s first time investing in the artificial intelligence ￰2￱ firm previously invested approximately $3 billion in Anthropic; the tech giant committed to investing $2 billion in the AI startup in 2023 and followed up with another $1 billion investment early this ￰3￱ raises large amounts of funds to stay competitive in the AI industry Anthropic and Google’s upcoming $10B cloud computing deal has ignited debates in the tech ￰4￱ address this heated discussion, reporters reached out to both Anthropic and Google to comment and request further information on the progress of the talks, but the companies chose not to ￰5￱ familiar with the situation, who wished to remain anonymous due to the confidential nature of the talks, however, hinted that the talks were still in the initial stage, suggesting that details might ￰6￱ the meantime, recent data in after-hours trading revealed that Google’s stock surged by more than 3.5%.

At the same time, that of ￰7￱ Inc., another crucial investor and cloud service provider for Anthropic, encountered a decline of around 2%. Founded in 2021 by former employees of OpenAI, Anthropic’s headquarters is based in San Francisco, California, at 548 Market ￰8￱ company is well-known for its Claude series of large language models, which rival OpenAI’s GPT ￰9￱ other firms in the AI field, the startup has been raising substantial amounts of money to keep pace with the intense competition in advancing AI technology. Still, industry experts believe that the company requires more resources for research, the implementation of new ideas, and growing consumer interest to solidify its position as a leader in AI.

Goal-oriented with a focus on AI leadership, the company recently engaged in initial findings talks with MGX, an Abu Dhabi-based investment firm, just a month after finalizing a $13 billion funding ￰10￱ funding round, led by Iconiq Capital and featuring Fidelity Management and Research ￰11￱ Lightspeed Venture Partners as co-leads, nearly tripled the valuation of the US-based AI startup firm to $183 ￰12￱ amount includes the funds ￰13￱ pledges to invest around $8 billion in Anthropic Besides Google, Amazon also pledged to invest around $8 billion in Anthropic. Notably, the company is a key AI client of Amazon Web Services (AWS) and a significant user of Amazon’s custom AI ￰14￱ was after reliable sources highlighted that in 2024, ￰15￱ ￰16￱ an additional $4 billion into the AI startup firm, boosting its investment in one of OpenAI’s biggest ￰17￱ companies announced the investment.

Additionally, it was confirmed after a previous investment of approximately $4 billion in Anthropic, which occurred the same ￰18￱ the previous investment deal, Anthropic was required to utilize Amazon Web Services data centers for some of its computing ￰19￱ also involved using AI chips designed by ￰20￱ Amazon’s substantial investments in Anthropic, research from sources has revealed that the company is strongly connected to Google’s parent company, Alphabet Inc. Meanwhile, in a blog post, Anthropic pointed out that Amazon’s additional $4 billion investment signaled AWS’s position as the firm’s primary cloud and training partner. Moreover, the AI startup company revealed its intentions to use Amazon’s AI chips to develop its most advanced models.

Therefore, with this deal, Anthropic confirmed Amazon as its minority ￰21￱ seen where it ￰22￱ in Cryptopolitan Research and reach crypto’s sharpest investors and builders.