Alphabet Inc. (GOOGL) shares saw a 3.1% increase in after-hours trading following a Bloomberg report that Google is in discussions with AI lab Anthropic for a potential multi-billion dollar cloud computing deal. The proposed arrangement would supply Anthropic with more computing power through Google's cloud services. While the plan is not yet finalized and details may change, the news has generated a positive market reaction. This potential partnership deepens the existing relationship between the two companies, as Google has already made significant investments in Anthropic. The deal is seen as a strategic move for Google to strengthen its position in the competitive AI landscape, particularly in the cloud services market where it competes with Amazon, another major investor in Anthropic. In other news, Alphabet's stock experienced a dip earlier as investors reacted to OpenAI's launch of ChatGPT Atlas, an AI-powered web browser perceived as a new competitor to Google's core search business. The launch raised concerns about the potential disruption to Google's search and advertising revenue streams.
Alphabet Shares Rise on Report of Multi-Billion Dollar AI Cloud Deal Talks with Anthropic
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