Adobe, Google expand partnership on AI and productivity tools

Amazon and Google's stakes in Anthropic could be worth $411 billion at the top of its IPO range, according to Reuters. Both companies invested in Anthropic and provided computing power. Additional investors include Nvidia, AMD, Broadcom, Microsoft, Micron, and TSMC.

Anthropic, an AI company, disclosed that Nvidia, Alphabet, AMD, Micron, Broadcom, Microsoft, and TSMC Partners will invest $26 billion in its IPO. Nvidia and Google each commit $10 billion, while others invest smaller amounts. The funds will support Anthropic's $900.9 billion infrastructure spending over 20 years, with $70.7 billion due by September 2027.

Seven tech companies, including Alphabet, Nvidia, and Microsoft, reportedly plan to invest $26 billion in Anthropic's IPO. The companies involved are Alphabet, Nvidia, Microsoft, AMD, Broadcom, Micron Technology, and Taiwan Semiconductor Manufacturing. Anthropic has not confirmed the figure, and the reported pricing was deemed inaccurate. The investment would be alongside the IPO offering, with Google having an option to buy up to $10 billion in Class N stock.

Adobe (ADBE) and Google expanded their partnership to integrate Adobe's tools into Google products and Google's AI models into Adobe apps. Acrobat will be available in Google Workspace, and Google's AI models will power features in Adobe apps like Photoshop and Acrobat. The collaboration aims to streamline workflows for creatives and enterprises, leveraging both companies' global reach.

Google introduced two new AI chips, TPU 8tx and TPU 8i Max, targeting secure and context-heavy AI tasks. The chips will launch next year, with Google shifting to a specialized strategy. Major customers include Oracle, Meta, and Apple. Google and Oracle will make TPUs available on Oracle Cloud Infrastructure from 2027. Google faces supply chain constraints and plans to expand its supplier base.

Alphabet (GOOGL) saw $100.7M in net ETF buying on Friday, with 56 funds adding shares and 21 reducing them. The largest buyers were QQQ ($80.6M), IVV ($58.2M), and QQQM ($29.8M). Alphabet has a market cap of $3.52T, with TTM revenue of $471.14B, up 21.9% YoY, and a P/E of 15.04.