Google Cloud. Meta signs $10 billion contract

Meta, which brings together Facebook and Instagram, has signed a contract with Google Cloud worth more than $10 billion (€8.61 billion) to use servers and other remote computing services.

The six-year contract is one of the largest signed by Google's cloud division since its inception 17 years ago.

The information, released by Agence France-Presse, was initially revealed by “The Information”, a media outlet specializing in the technology sector, which cites an unidentified source close to the dossier.

In mid-July, Meta CEO Mark Zuckerberg announced plans to invest “hundreds of billions of dollars” in artificial intelligence (AI) infrastructure, aiming to achieve a stated goal of building AI smarter than humans.

Tech giants spend colossal sums to improve generative AI models, which require enormous computing power, cutting-edge computer chips, and a lot of energy.

Meta aims to build multi-gigawatt computing networks , and cannot afford to fall any further behind the industry leaders, namely OpenAI (ChatGPT) and Google, than it already does.

The Californian group also hired employees from OpenAI, Google and Anthropic, offering them substantial bonuses.

Mark Zuckerberg wants to build “the most talented elite team in the industry,” with “unparalleled computing power in the industry,” in his own words.

Meta did not respond to an AFP request for comment on Thursday.

Google Cloud, number three in remote computing behind AWS (Amazon) and Microsoft, saw its sales increase 32% in the second quarter, surpassing $13 billion.

"Almost all generative AI unicorns (startups valued at at least $1 billion) use Google Cloud," said Sundar Pichai, president of the Californian company, during a conference call with analysts at the end of July.

OpenAI, despite being a privileged partner of Microsoft in AI, also recently signed a contract with Google Cloud.