Anthropic Expands Google Partnership with Major AI Chip Acquisition

Anthropic, a leading player in artificial intelligence, revealed on Thursday an expansion of its collaboration with Google to enhance its cloud computing capabilities and procure specialized chips in a deal valued at tens of billions of dollars. This strategic partnership will involve the acquisition of up to one million Tensor Processing Units (TPUs), which are custom-designed integrated circuits developed by Google, according to the San Francisco-based startup.

The agreement is expected to enable Anthropic to introduce over a gigawatt of additional computing power by the end of 2026, which is crucial for addressing the “exponentially growing demand” for its Claude AI models, as stated by Chief Financial Officer Krishna Rao.

With over 300,000 business customers, Anthropic was established in early 2021 by former employees of OpenAI who believed their previous employer underplayed the importance of controlling the potentially harmful impacts of its AI models. Backed by Amazon, Anthropic quickly became a formidable competitor in the generative AI landscape, particularly after the launch of ChatGPT by OpenAI in November 2022, which ignited a fierce race among tech companies to develop advanced AI models.

While it has not yet reached the user base or name recognition of OpenAI, Anthropic has been recognized as a top performer in the realm of generative AI for computer programming. Meanwhile, Google has been significantly increasing its investments in AI technologies as it competes with OpenAI, Microsoft, Amazon, and others for leadership in the field. The TPUs provided by Google stand as competitors to the highly sought-after GPUs from Nvidia.

“Anthropic”s decision to substantially increase its use of TPUs showcases the remarkable price performance and efficiency our teams have experienced with these units over the years,” commented Google Cloud Chief Thomas Kurian. “We are committed to continuing our innovation efforts to enhance the efficiency and capacity of our TPUs.”

Last month, Anthropic introduced its newest generative AI model, Claude Sonnet 4.5, which it claims is the leading model for computer programming. This latest release is also described as the most advanced for applications that enable AI assistants to operate computers similarly to human users.

Looking to expand its global presence, Anthropic announced plans to open an office in India next year, as major generative AI companies seek to establish a foothold in the world”s most populous country. The demand for AI tools and solutions is surging in India, which is projected to surpass 900 million internet users by year-end, fueled by increased adoption among businesses and individuals.

Currently, Anthropic holds a valuation of $183 billion, while OpenAI”s valuation has reportedly surged to $500 billion following a private share sale, positioning it as the world”s most valuable startup. With a workforce of 2,400 representing 100 different nationalities, the agency provides comprehensive and fast news coverage on global issues.