Google plans $40 billion investment in Anthropic to boost AI push

Google is planning to invest up to $40 billion in artificial intelligence firm Anthropic, marking one of its largest bets on the sector, according to reports on Friday.

The investment will begin with an initial $10 billion infusion, with a further $30 billion contingent on the startup meeting specific performance targets. Anthropic said the funding would support a major expansion of its computing capacity.

Google has already invested more than $3 billion in the company and holds over a 10 percent stake as of early 2026. The two firms operate as both partners and competitors in the race to advance AI technologies.

Anthropic, led by Dario Amodei, said the initial $10 billion commitment values the company at $350 billion, in line with its February funding round and excluding more recent capital raised.

As part of the arrangement, Google Cloud will provide 5 gigawatts of computing capacity to Anthropic over the next five years, with the possibility of additional capacity later. The startup is already a major customer of Google’s chips and cloud services.

The move comes as Google looks to expand beyond its core search advertising business and strengthen its position in AI infrastructure and services.

Anthropic has accelerated fundraising following the success of its AI agent Claude Code, designed to speed up software development. Earlier this week, the company reportedly secured an additional $5 billion from Amazon at the same $350 billion valuation, with an option for a further $20 billion investment.

In February, Anthropic raised $30 billion, and subsequent investor interest has pushed valuations for the company to as high as $800 billion or more.