Meta intensifies the race for AI. The company will sign a $10B contract with Google Cloud

Meta Platforms Inc., owner of Facebook and Instagram, has signed a multi-year agreement with Alphabet Inc. to use Google’s cloud services worth at least $10 billion.

This was reported by Bloomberg.

• Under the agreement, Meta will pay a minimum of $10 billion over six years for access to Google Cloud servers and storage.

• This is the first major contract between companies in the field of cloud computing. Meta has previously experimented with Google Cloud technologies, but has not yet been an official infrastructure partner.

• Despite having its own data centers, Meta is actively leasing additional capacity to rapidly increase computing resources for the development of generative AI.

Bloomberg Intelligence analysts believe that this deal confirms Google Cloud’s competitiveness in pricing and will allow Meta to focus on improving its own Llama model, which competes with other advanced AI solutions on the market.

We remind you that Meta’s AI chatbot’s scandalous policy regarding correspondence with minors was previously exposed. The chatbot could flirt with children and spread unconfirmed medical information.

Read more: Chrome for $34.5 billion: American AI startup Perplexity wants to buy Google’s browser