Meta Platforms has signed a six-year agreement with Google worth US 10 billion to use the latter’s cloud services to meet its AI workload demands, according to Reuters yesterday, quoting The Information which attributed the news to sources familiar with the matter. The cloud computing deal entails Meta using Google Cloud’s servers, storage, networking and other services.
Meta and Google have long competed in the online ads sphere. Meta currently uses the cloud services of Amazon Web Services and Microsoft Azure.
Meta’s CEO Mark Zuckerberg had indicated in July that the company would be spending hundreds of billions of dollars to build several massive AI data centers to get ahead in the AI race. Early this month, the company disclosed in a filing that it had offloaded US$ 2 billion worth of data center assets and is seeking partners to fund its AI data center buildouts.
It is widely reported that all the big tech companies are pouring in hundreds of billions of dollars into cloud infrastructure to meet AI workload demands. OpenAI also planned to use Google Cloud to meet its AI workload demands, as reported by Reuters in June. Both are rivals in the AI race.
Meta and Google did not immediately respond to press requests for comment.