Alphabet to invest up to $40 billion in AI startup Anthropic

Alphabet, the parent company of Google, is reportedly planning to invest up to $40 billion in the artificial intelligence startup Anthropic. This deal includes an initial cash injection of $10 billion at a valuation of $350 billion, with a further $30 billion contingent on Anthropic meeting specific performance and computing capacity targets. This announcement follows a recent report that Amazon intends to invest up to $25 billion in the same startup. Anthropic has seen significant growth, with its annual revenue run-rate exceeding $30 billion this month, rising from approximately $9 billion at the end of 2025. In February, the company raised $30 billion, which resulted in a post-money valuation of $380 billion. Furthermore, there are reports that venture capital firms have submitted offers valuing the startup as high as $800 billion. The company is actively seeking to expand its computing infrastructure to support its Claude model family, recently securing partnerships with Broadcom and Google. Neither Alphabet nor Anthropic have provided official comments regarding these reports.