Google backs $5B Texas AI data center for Anthropic

Google is preparing to support a large data center project in Texas that Anthropic has leased, as major AI companies race to secure more computing power in the United States. 

The project links a fast-growing AI developer with one of its biggest cloud partners at a time when Anthropic is also fighting a legal battle with the Pentagon.

The Texas project is operated by Nexus Data Centers and could cost more than $5 billion in its first phase, according to the Financial Times. The report said Google is expected to provide construction loans, while a group of banks is competing to arrange more financing by mid-year.

Anthropic recently signed a lease for the 2,800-acre campus, and construction is already underway. Early-stage debt financing came from Eagle Point, while the site is expected to deliver about 500 megawatts of capacity by late 2026, with room to expand to 7.7 gigawatts later.

The project adds to a broader partnership between Google and Anthropic. Anthropic said in October 2025 that it would expand its use of Google Cloud TPUs and services, with plans to access up to 1 million TPUs for training and serving Claude models.

Google’s support for the Texas buildout shows how the competition for AI infrastructure now goes beyond chips and cloud contracts. The planned campus also sits near major gas pipelines, which could let the operator use on-site gas turbines instead of relying only on the public grid.

At the same time, Anthropic won temporary relief in court. A federal judge in San Francisco blocked the Pentagon from branding the company a “supply-chain risk” while the case moves forward, saying the government’s action appeared punitive rather than security-driven.

Judge Rita Lin also said the government acted in an “arbitrary” way, according to reporting from the Associated Press and other outlets. The ruling does not force the Pentagon to keep using Anthropic’s tools, but it stops broader punitive steps for now.

Military dispute remains unresolved

The legal fight followed a dispute over military use of Anthropic’s AI. The Pentagon clash began after Anthropic refused to loosen safeguards related to surveillance and autonomous weapons.

US military units used Anthropic’s Claude AI during strikes on Iran. That left Anthropic at the center of two fast-moving stories at once: the race to build more AI infrastructure and the debate over how governments should use advanced AI tools.