Google to Back $15 Billion Financing for Anthropic Data Center, WSJ Reports

Data-center developer Nexus Data Centers is in advanced talks to raise $15 billion in financing for a sprawling Texas campus designed for AI startup Anthropic, with Alphabet’s Google providing crucial financial guarantees, The Wall Street Journal reported Thursday, citing people familiar with the matter.

Details of the Financing

A consortium of banks led by Morgan Stanley is discussing the massive financing package, which is intended for a project in Hubbard, Texas. The proposed deal includes a $14 billion bridge loan and a revolving credit facility, according to the report.

The project is notable for its scale and integrated infrastructure, which includes plans for an on-site natural-gas-fired power plant capable of generating 1.6 gigawatts of electricity to meet the immense energy demands of AI computing.

Google's Strategic Role

Google's involvement is reportedly pivotal to securing the financing. The tech giant has agreed to guarantee billions of dollars related to Anthropic's lease and power-payment commitments, effectively backstopping the deal for lenders should the AI startup default.

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In return for providing this support, Google is expected to receive an equity stake of approximately 20% in the data-center and power project. This arrangement deepens the strategic ties between Google and Anthropic, one of the leading firms in the generative AI space.

Market Context and Technology

This deal highlights the massive capital expenditures required to build the next generation of AI infrastructure. The direct pairing of a data center with a dedicated power source reflects a growing trend to overcome energy constraints that could otherwise throttle AI development.

Anthropic plans to equip the site with tensor processing units (TPUs), specialized AI chips co-designed by Google and Broadcom, the Journal said. That hardware would reportedly be funded through a separate vendor-financing agreement between Anthropic and Broadcom.

Reuters reported that Anthropic declined to comment on the matter, while Google and Morgan Stanley did not immediately respond to requests for comment.