Anthropic and Google Cloud Collaboration Excites Investors

Morgan Stanley stated that the partnership between Anthropic and Google Cloud could lead to an increase of approximately 1-9% in cloud revenues for the year 2026. This partnership is expected to contribute an annual amount of approximately $9 billion to $13 billion in 2027.

Analyst Brian Nowak noted in a statement to investors, 'The Anthropic/Google Cloud Platform (GCP) deal adds additional support to the already rapidly growing GCP business.'

The agreement provides Anthropic with access to up to 1 million TPUs (Tensor Processing Units) to facilitate the training and deployment of the next-generation Claude models.

Morgan Stanley indicated that the agreement is valued at 'tens of billions of dollars', stating that Anthropic plans to have significantly more than one gigawatt capacity online by 2026.

The firm added, 'We believe that the strong price-performance ratios and cost efficiencies of Google's TPUs are among the key factors in Anthropic's decision, especially as the company tries to scale up its computing capacity to meet growth momentum.'

Additionally, the bank believes that this announcement demonstrates the power of Google's artificial intelligence cloud offerings across infrastructure, models, and services. Morgan Stanley noted, 'We expect workloads on GCP to gain weight in the direction of inference as Amazon has still stated that it is the primary provider of training.'

According to the bank's statement, it is likely that Anthropic will spend approximately $50 billion to $80 billion over a span of six years with GCP, and the full-year contribution is expected by 2027. 'This deal provides additional support to the already rapidly growing GCP business,' it said.