Daijiworld Media Network- San Francisco

San Francisco, Aug 22: Social media giant Meta has entered into a landmark cloud computing agreement with Google, valued at more than $10 billion over six years, according to reports.

A source familiar with the transaction confirmed to AFP that the deal will see Meta make use of Google’s data center servers, storage, networking, and other cloud services. While Google has not issued an official statement, the arrangement is said to be one of the largest in the 17-year history of Google’s cloud division. Meta, however, declined to comment on the development.

The deal comes as Meta CEO Mark Zuckerberg aggressively ramps up artificial intelligence (AI) investments, hiring top researchers from rivals like OpenAI and Apple. “I’m excited to build personal superintelligence for everyone in the world,” Zuckerberg remarked during a recent earnings call.

Meta’s second-quarter results showcased robust financial performance, with capital expenditures soaring to $17 billion, largely directed toward AI infrastructure. For 2025, the company has projected overall capital spending in the range of $66–72 billion.

Industry experts say the agreement underscores Meta’s urgency to stay competitive in the global AI race against tech giants such as Microsoft, Amazon, and Google. Google parent Alphabet recently reported its cloud business on track to generate $50 billion this year, further solidifying its position in the high-stakes cloud sector.

Despite a strong quarter, questions remain over Meta’s long-term AI strategy. “A strong quarter won’t shield Meta from questions concerning the company’s future as it breathlessly tries to keep up in the AI race,” noted Emarketer analyst Minda Smiley.

Zuckerberg has indicated that the remainder of the decade will be transformative for artificial intelligence, reiterating Meta’s priority of integrating AI into everyday user experiences.