Google to invest up to $40 billion in rival/partner Anthropic

Alphabet, Google’s parent company, has reached an agreement to initially invest $10 billion in Anthropic, increasing to $40 billion on reaching «performance targets,» Reuters reports.

The deal comes hot on the heels of Amazon’s investment of $25 billion this week, also contingent on «commercial milestones.»

Google’s investment comes as Anthropic is seeking to expand its compute capacity after several reports of throttling and downtime for its Claude service, amid rising popularity.

Earlier this month, Google and Broadcom secured a «partnership» with significant compute for Anthropic, as the company announced it had hit a $30 billion annualized run-rate revenue.

Read more: Reuters, CNBC, and TechCrunch.