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

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April 24, 2026 12:01 PM EDT

FILE PHOTO: Anthropic logo is seen in this illustration taken March 1, 2026. REUTERS/Dado Ruvic/Illustration/File Photo

April 24 (Reuters) - Google-parent Alphabet ‌will invest up ​to $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 that Google has ⁠committed $10 billion now in cash at a valuation of $350 billion to help support a ‌major expansion of its computing ‌capacity, and will invest $30 billion more if the Claude maker meets performance targets.

The investment comes just days after e-commerce giant Amazon said it ​will invest up to $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 $30 billion this month, up from about $9 billion at the end of 2025.

The startup raised $30 billion in a funding ​round in February that valued it at $380 ‌billion post-money amid massive investor interest, and has drawn offers from venture capital firms valuing it at as much ⁠as $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 1 gigawatt of capacity via Amazon's chips by year-end.

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

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.

(Reporting by Deborah Sophia and Zaheer Kachwala in Bengaluru; Editing by Pooja Desai, Tasim Zahid and ‌Sahal Muhammed)


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