Anthropic has reportedly agreed to pay Google $200 billion over the next five years for access to chips and cloud servers. The deal, reported by The Information, follows an earlier agreement granting the Claude AI creator access to Google's infrastructure. It highlights the massive investments fueling the AI sector.
Google and Anthropic struck a deal earlier this month providing the AI startup with cloud servers and chips, according to reports. The Information detailed on Monday that Anthropic committed to paying Google a staggering $200 billion over five years as part of this arrangement. This five-year pact underscores the enormous financial flows between AI firms and tech giants amid the ongoing boom. Similar multi-billion-dollar deals include Anthropic's recent arrangement with Amazon, contributing to a combined revenue backlog of $2 trillion from agreements with Anthropic and OpenAI across Amazon, Google, Microsoft, and Oracle. Cloud providers have invested early in the AI surge, betting on startups' growing demand for resources, and these contracts have so far delivered returns. Projections had pegged Anthropic's 2026 server costs at $20 billion, with OpenAI facing $45 billion. Experts note that such circular deals, alongside investments like NVIDIA's in OpenAI, drive the AI expansion but strain resources like data centers and RAM supplies.