Meta signs six-year Google Cloud deal worth over $10B

Meta Platforms Inc. has reached a six-year cloud services agreement with Google Cloud valued at more than $10 billion, a landmark deal that will dramatically expand the social media company’s use of external cloud infrastructure to power its AI ambitions. The arrangement covers Google Cloud’s datacenter servers, storage, networking and related services and is designed to bolster Meta’s capacity to train and run large-scale AI models, including the company’s Llama family of open-source systems.

The agreement marks a notable milestone in the cloud market, underscoring Google Cloud’s push to close the gap with dominant players Amazon Web Services and Microsoft, while reflecting Meta’s broader strategy to diversify its computing backbone. Meta already operates a multi-cloud approach, relying on AWS and Azure in addition to its own data centers. The new deal with Google Cloud adds another major partner in Meta’s plan to ensure abundant compute power as it scales AI research and deployment.

Meta’s AI drive remains expansive and costly. In its latest earnings outlook, the company projected total 2025 expenses in the range of $114 billion to $118 billion, with a sizable portion...