Snowflake $SNOW rose 36% after Q1 FY2027 product revenue increased 26% to $996.8M and remaining performance obligations reached $6.7B. The company also said it plans to spend $6B on Amazon Web Services over five years.
Anthropic has agreed to spend $200 billion with Google Cloud over five years for next-generation TPU compute capacity, according to The Information. The deal would represent more than 40% of Google Cloud's $460B+ revenue backlog.
Datadog ($DDOG) reported blockbuster Q1 2026 earnings that sent shares up 31%, confirming the company as a primary AI workload beneficiary. The results lifted cloud infrastructure peers Snowflake and MongoDB, signaling that AI-driven data volumes are broadly expanding the cloud observability market.
Anthropic has agreed to spend $200 billion on Google Cloud services and Broadcom-built TPUs over five years, beginning 2027. The deal accounts for over 40% of Google's disclosed cloud revenue backlog; Alphabet also plans up to $40B in additional investment in Anthropic.
Sam Altman announced OpenAI's updated partnership with Microsoft, ending exclusive cloud arrangements. Microsoft remains the primary cloud partner, but OpenAI can now deploy products on AWS, Google Cloud, and any other provider.
AWS customers can now access OpenAI's GPT models and Codex coding agent through Amazon Bedrock, marking OpenAI's first major deployment outside Microsoft Azure. General availability is expected within weeks.
Microsoft and OpenAI have restructured their partnership, ending Azure exclusivity so OpenAI can now sell products on AWS and Google Cloud. The deal also eliminates Microsoft's revenue-share payments to OpenAI, while OpenAI's payments to Microsoft continue through 2030 with a cap.
Europe’s next platform fight is moving from app stores and browser defaults to AI and cloud. EU regulators say the Digital Markets Act will now focus more directly on those markets, while Amazon and Microsoft’s cloud businesses face new gatekeeper scrutiny.
Google used its latest quarter to argue that AI is no longer just a capex story. Cloud revenue rose 63% past $20 billion, while core AI response costs in AI Overviews and AI Mode fell by more than 30% after the Gemini 3 upgrade.
One of AI’s most important commercial contracts just loosened up. Microsoft keeps Azure’s first-stop role and long-dated IP access, but OpenAI can now sell across any cloud and Microsoft will no longer pay it a revenue share.
This is not just another AI funding round. TechCrunch reports Google will put in $10 billion now at a $350 billion valuation, with as much as $30 billion more tied to Anthropic targets and 5 gigawatts of fresh compute over five years.
Google is signaling that enterprise AI is moving from demos to operational scale. In its April 22 Cloud Next update, the company said customer API traffic has risen to more than 16 billion tokens per minute and that just over half of its 2026 machine-learning compute investment will go to the Cloud business.