Google to invest up to US$40 billion in AI rival Anthropic

Published Sat, Apr 25, 2026 · 11:18 AM

[BENGALURU] Google-parent Alphabet will invest up to US$40 billion in Anthropic, as the tech giant deepens its partnership with the artificial intelligence startup that is also its rival in the global AI race.

Anthropic said on Friday (Apr 24) that Google has committed US$10 billion now in cash at a valuation of US$350 billion to help support a major expansion of its computing capacity, and will invest US$30 billion more if the Claude maker meets performance targets.

The investment comes just days after e-commerce giant Amazon said that it will invest up to US$25 billion in the startup, which has managed to stand out in the crowded AI industry by focusing its model training on coding.

Anthropic’s Claude Code tool has gained strong traction among developers.

The company’s annual run-rate revenue surpassed US$30 billion this month, up from about US$9 billion at the end of 2025.

The startup raised US$30 billion in a funding round in February that valued it at US$380 billion post-money amid massive investor interest, and has drawn offers from venture capital firms valuing it at as much as US$800 billion, according to media reports.

Hunt for computing power

Strong demand for its Claude family of AI models has prompted Anthropic to sign several major deals recently to acquire more computing capacity.

Earlier this month, it struck multi-year deals with chipmaker Broadcom and cloud infrastructure firm CoreWeave, and is also set to secure nearly one gigawatt of capacity via Amazon’s chips by year-end.

Last year, Anthropic had said that it would invest US$50 billion to build data centres in the US to secure infrastructure to deploy and train its models.

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Earlier this year, a series of plugin releases for Anthropic’s Cowork agent sparked a brutal selloff in global software stocks as investors weighed the disruptive potential of sophisticated AI tools. REUTERS