Google secures $10B Meta cloud contract in boost for its AI services

Anabelle Colaco
25 Aug 2025, 22:31 GMT+10

Meta Platforms has signed a six-year cloud computing agreement with Google worth more than US$10 billion
The deal will see Meta tap Google Cloud’s servers, storage, networking, and related services to bolster its data needs, a source said, requesting anonymity because the discussions are confidential
The move comes as Meta CEO Mark Zuckerberg has pledged to spend “hundreds of billions” of dollars to construct massive AI data centers

MENLO PARK, California: Meta Platforms has signed a six-year cloud computing agreement with Google worth more than US$10 billion, a person familiar with the matter told Reuters, underscoring the scale of Meta's infrastructure push as it races to expand its artificial intelligence capabilities.

The deal will see Meta tap Google Cloud's servers, storage, networking, and related services to bolster its data needs, the source said, requesting anonymity because the discussions are confidential. Google and Meta did not immediately comment. The Information first reported the agreement.

The move comes as Meta CEO Mark Zuckerberg has pledged to spend "hundreds of billions" of dollars to construct massive AI data centers. Last month, Meta lifted the lower end of its capital expenditure guidance by $2 billion to a range of $66 billion to $72 billion for 2025.

To offset some of those costs, Meta has been seeking outside partners and disclosed plans earlier this month to offload $2 billion worth of data center assets.

The Google agreement follows another high-profile deal for the search giant's cloud division. In June, Reuters reported that OpenAI was preparing to add Google Cloud to its roster of infrastructure providers to meet surging demand. The partnerships mark an unusual turn, given that Google and OpenAI compete directly in the AI market.

For Google, the Meta deal extends momentum in its cloud business. Alphabet reported nearly 32 percent revenue growth for its cloud division in the second quarter, surpassing analyst forecasts and reinforcing its position in a sector dominated by Amazon Web Services and Microsoft Azure.