Meta Platforms has signed a six-year, $10 billion deal with Google Cloud to handle its growing computing needs. The agreement will give Meta the cloud resources required to support its massive data operations, including plans to deploy over a million GPUs and expand its data center capacity significantly by 2025, as per The Information.
A source familiar with the deal told AFP that Meta will rely on Google’s data center infrastructure, including servers, storage, networking, and other cloud services. While Google has yet to comment publicly, the agreement is reportedly one of the largest in the 17-year history of its cloud business.
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The agreement arrives as Meta CEO Mark Zuckerberg steps up investments in artificial intelligence, recruiting leading researchers from competitors including OpenAI and Apple. “I’m excited to build personal superintelligence for everyone in the world,” Zuckerberg said during a recent earnings call. The partnership also strengthens Google Cloud’s position in the market, while allowing Meta to scale its operations more efficiently. It highlights how major tech companies are increasingly relying on collaboration to manage the massive infrastructure demands of their platforms.
As for a long time, Meta relied mainly on Amazon Web Services, with some use of Microsoft Azure. But as its AI demands surge, the company is now diversifying across providers and tapping into Google’s infrastructure strength.
Meta posted strong second-quarter results, with capital spending jumping to $17 billion, most of which was allocated to expanding its AI infrastructure. The company expects total capital expenditures to reach between $66 billion and $72 billion in 2025. Meanwhile, Google’s parent company, Alphabet, reported that its cloud division is set to bring in $50 billion this year, reinforcing its leadership in the competitive cloud market.
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Google is pushing to secure major cloud contracts as it competes with industry giants Amazon Web Services and Microsoft Azure. Earlier this year, the company landed a deal with OpenAI, which had previously relied heavily on Microsoft’s Azure platform. Meanwhile, Meta is looking for external partners to help support the extensive infrastructure required for its AI efforts, planning to sell $2 billion worth of data center assets, according to a company filing earlier this month.
For Google, the Meta deal is a major win. After bringing OpenAI on board earlier this year, it is clear the company is no longer content to remain behind AWS and Azure. Meta, a direct competitor in digital advertising, would sign such a large agreement underlines just how vital computing power has become.