Google is pouring up to $40 billion into Anthropic through cash and computing capacity, locking in a deal that makes the AI company a shared dependency for two of the world's largest cloud providers. The Alphabet subsidiary committed an initial US$10 billion in cash at a US$350 billion valuation for Anthropic, with another US$30 billion tied to performance milestones. The companies confirmed the pact Friday; Bloomberg was first to report it.
Google Cloud will provide 5 gigawatts of computing capacity to Anthropic over the next five years through Tensor Processing Units and custom chips designed with Broadcom. That infrastructure begins coming online next year. The deal arrives less than a week after Anthropic secured an additional US$5 billion from Amazon, part of a broader agreement where the startup is expected to spend up to US$100 billion on roughly 5 gigawatts of AWS compute capacity over time. Amazon can invest up to US$20 billion more depending on milestones.
Anthropic is effectively absorbing capital and compute from both Alphabet and Amazon simultaneously two companies that compete directly in cloud services and AI model development. Google offers Claude through its cloud division; Amazon Web Services does the same.
Microsoft offers Anthropic models through Azure too. The infrastructure spending reflects what it costs to train and deploy frontier AI systems at scale. OpenAI has pursued a similar strategy this month, expanding its deal with chipmaker Cerebras and securing multi-hundred-billion-dollar commitments across cloud providers and energy suppliers.
Anthropics latest model, Mythos, debuted this month to a limited group of partners. The company said it has significant cybersecurity applications but acknowledged potential misuse risks, releasing it only after evaluations with select organizations.
Anthropics valuation stood at US$350 billion as recently as February. Investors have since signaled willingness to back the company at US$800 billion or more, according to Bloomberg. The startup is reportedly considering an IPO as soon as October.
