Anthropic is in the talks with Google about a deal that would provide the AI company with additional computing power valued in the high tens of billions of dollars. This deal, which is yet to be finalized, would involve Google providing Anthropic with cloud computing services.
Anthropic will also be able to use Google’s tensor processing units, or TPUs — the company’s chips that are custom designed to accelerate machine learning workloads, according to a Bloomberg report that cites people familiar with the matter. Google is also a previous investor and cloud provider for Anthropic.
Talks are in their early stages and the details could change. Google shares rose as much as 2.3% after markets opened in New York on Wednesday, while Amazon.com, also an Anthropic investor and cloud provider, slipped about 1.5%.
READ: ‘Not thrilled about it’: Anthropic’s CEO flags risks as UAE, Qatar funding awaits (July 23, 2025)
Anthropic, which was founded in 2021 by former OpenAI employees, is best known for its Claude family of large language models, which compete with OpenAI’s GPT models. The company recently held early funding talks with Abu Dhabi-based investment firm MGX, shortly after closing a $13 billion funding round.
The funding round was co-led by Iconiq, Fidelity Management & Research Company and Lightspeed Venture Partners. Other investors included Altimeter, Baillie Gifford, BlackRock, Blackstone, Coatue, D1 Capital Partners, Insight Partners, Ontario Teachers’ Pension Plan, Qatar Investment Authority, and more.
Google previously invested around $3 billion in Anthropic. Anthropic had said that the company would use the funding to expand its capacity to meet enterprise demand, and support international expansion.
Anthropic is projecting to more than double and potentially nearly triple its annualized revenue run rate next year, fueled by the rapid adoption of its enterprise products, according to a Reuters report. The company is on track to meet an internal goal of $9 billion in annual revenue run rate — a calculation of annual revenue extrapolated from the current sales pace — by the end of 2025.
Amazon, which competes with Google in the cloud services market, has also invested billions in Anthropic, and provided computing resources to the company. Earlier this week, AWS, Amazon’s cloud division, experienced an outage of 15 hours, impacting over 1000 customers in the process. This outage sparked errors and latency across several cloud services endpoints, disrupting services from companies including Snapchat, United Airlines and crypto exchange Coinbase.
Amazon stock fell 1.6% in after-hours trade in response to the potential Anthropic-Google Cloud deal.