Tech giant Google has boosted its investments in the emerging artificial intelligence company “Anthropic” by committing an additional $2 billion. This move further fuels the obsession with AI technology in Silicon Valley.
According to Bloomberg, the deal came in the form of convertible bonds, which will transform into shares in the startup’s next funding round, as confirmed by an “Anthropic” spokesperson.
In a related report, Google’s parent company, “Alphabet,” had already invested $500 million, with a commitment to add another $1.5 billion in the future.
Prior to this new funding, Google was reported to have invested $550 million in “Anthropic” earlier this year.
This new deal follows Amazon’s investment of approximately $4 billion in convertible securities in “Anthropic.” Before this fresh funding, Google had also signed a significant deal in the cloud computing field with “Anthropic.”
According to Bloomberg’s report, the new cloud deal, in which “Anthropic” will use Google’s suite of cloud computing services, is more significant than the recent investment and will span several years.
Both Google and Amazon, through their investments in “Anthropic,” aim to strengthen their ties with companies representing the next wave of artificial intelligence. They encourage these companies to utilize their cloud computing tools.