While OpenAI has reportedly missed user and revenue targets



Google is preparing a major new investment in AI firm Anthropic that could reach as much as $40 billion, in one of the largest deals yet in the rapidly expanding AI sector.

As reported by Bloomberg, The proposed agreement would begin with an initial $10 billion cash injection from Google, valuing Anthropic at around $350 billion.

That matches the company’s valuation from a funding round earlier this year, before any additional investment is included.

A further $30 billion could follow if Anthropic meets certain performance targets, potentially bringing Google’s total commitment to $40 billion.

The move signals intensifying competition among major tech firms to secure both cutting-edge AI models and the vast computing infrastructure required to run them.

Anthropic has attracted significant attention in recent months, driven by growing demand for its AI model Claude and its coding-focused tools.

The company says its annual revenue run rate has surpassed $30 billion, up sharply from $9 billion at the end of 2025.

Its product “Claude Code”, designed to assist software developers, has seen particularly strong uptake.

“Our users tell us Claude is increasingly essential to how they work,” said Anthropic’s chief executive Dario Amodei. “We need to build the infrastructure to keep pace with rapidly growing demand.”

Compute capacity central to the deal

Alongside funding, the agreement would give Anthropic expanded access to Google Cloud infrastructure.

Google is expected to provide up to five gigawatts of computing capacity over the next five years, with the possibility of additional resources beyond that.

Such capacity is critical for training and operating advanced AI systems, which require enormous processing power.

Google’s proprietary tensor processing units (TPUs), are likely to play a key role.

The investment also strengthens Google’s position in cloud computing, where demand has been boosted by AI workloads.

The company reported that Google Cloud revenue rose 36% last year to $58.7 billion.

Rival tech giants step up spending

Google is not alone in backing Anthropic.

Amazon recently expanded its own partnership with the firm, committing $5 billion upfront with the option to invest up to $25 billion in total. That builds on a previous $8 billion investment, making Amazon one of Anthropic’s largest backers.

As part of that agreement, Anthropic has pledged to spend $100 billion over the next decade on Amazon’s cloud services and custom-designed AI chips.

Amazon chief executive Andy Jassy said the arrangement “reflects the progress we’ve made together on custom silicon”.

The scale of investment suggests how AI has become a central battleground for the world’s largest technology firms.

Companies including OpenAI and others are also securing tens of billions of dollars to expand their capabilities, fuelling a surge in spending across the industry.

OpenAI, which is planning to go public this year, has failed to reach its targets for new users and revenue in recent months, according to the Wall Street Journal, which quotes unnamed sources, leading to speculation over ‌whether it will be able to support its expenditure on infrastructure.

Amazon said in February it would invest $50 billion in OpenAI, which has indicated it plans to spend more than $100 billion on Amazon’s services.

Amazon has also told investors it expects capital spending to reach $200 billion this year, largely directed towards expanding datacentres and equipping them with the chips needed to support AI systems.