Google to invest up to $40 billion in Anthropic

Google-parent Alphabet will invest up to $40 billion in Anthropic. This comes as the tech giant deepens its partnership with the artificial intelligence startup, which is also its rival ‌in the global AI race. It also comes just days after Amazon said it will invest up to $25 billion in Anthropic. The startup said Google has committed $10 billion now in cash at a $350 billion valuation to help expand its computing capacity, and will invest $30 billion more if the Claude maker meets performance targets.

However, reports indicate that Anthropic has received offers to raise money at a valuation of $800 billion and more.

Following the initial investment, Google will have the option to invest another $30 billion in Anthropic based on certain performance criteria. Though the details regarding the criteria are unclear.

Earlier this month, Anthropic said it had signed a new agreement with Google and Broadcom for multiple gigawatts of next-generation TPU capacity expected to start coming online in 2027.

Anthropic has had a bunch of successful products, including Claude Code and Claude Cowork. The company’s most advanced AI model, Claude Mythos, is so powerful that Anthropic has not released it to the public. Though some reports state that the model is likely to be expensive to run at scale.