Anthropic and Google in talks over multibillion-dollar cloud deal

(Bloomberg)– Anthropic PBC is in discussions with Alphabet Inc.’s Google about a deal that would provide the artificial intelligence company with additional computing power valued at tens of billions of dollars, according to people familiar with the matter.

The plan, which has not been finalized, involves Google providing cloud computing services to Anthropic, according to the people who asked to remain anonymous because the information is confidential. The deal will allow Anthropic to use Google’s tensor processing units, or TPUs, the company’s custom-designed chips to accelerate machine learning workloads, one of the sources said. Google is a former investor and cloud provider for Anthropic.

Most read on Bloomberg

Anthropic and Google declined to comment. The talks are in their early stages and details could change. Shares of Google jumped more than 3.5% in extended trading, while Amazon.com Inc., also an Anthropic investor and cloud provider, slipped about 2%.

Founded in 2021 by former OpenAI employees, San Francisco-based Anthropic is best known for its Claude family of large language models, which compete with OpenAI’s GPT models. Like its peers, Anthropic has raised significant sums to keep pace with the race to advance AI, which industry executives say will require more resources for research and breakthroughs, as well as to meet consumer demand.

Anthropic recently held preliminary financing talks with Abu Dhabi-based investment firm MGX, about a month after closing a $13 billion funding round. That funding, led by Iconiq Capital, with Fidelity Management and Research Co. and Lightspeed Venture Partners as co-leads, nearly tripled Anthropic’s valuation to $183 billion, including dollars raised.

Google previously invested around $3 billion in Anthropic; the tech giant committed to investing $2 billion in the AI ​​startup in 2023, and followed up with an additional $1 billion investment earlier this year. Amazon has committed to investing approximately $8 billion in Anthropic, which is a key AI customer of Amazon Web Services and a major user of Amazon’s custom AI chips.

–With help from Shirin Ghaffary, Dina Bass and Matt Day.

(Updates to add bullet points in second paragraph.)

Most read from Bloomberg Businessweek

©2025 Bloomberg LP