OpenAI has entered into a partnership with Google Cloud, marking a significant collaboration between two key players in the AI industry.

The agreement, which has been in negotiation for several months, was finalised in May 2025, reported Reuters, citing sources familiar with the matter.

This partnership underscores how the enormous computing requirements for training and deploying AI models are transforming the competitive landscape in the AI sector.

It also signifies OpenAI's recent efforts to diversify its computing resources beyond its primary backer, Microsoft.

The collaboration is expected to enhance OpenAI's capabilities in training and deploying AI models. This comes as OpenAI’s ChatGPT product poses a challenge to Google's established search business, reported the media outlet.

The deal is seen as an advantage for Google Cloud, which will provide additional computing power to support OpenAI's operations.

Neither OpenAI, Google, nor Microsoft have provided comments on the partnership, reported the publication.

Since the launch of ChatGPT in late 2022, OpenAI has faced escalating demands for computing capacity, essential for training large language models and processing user interactions.

The partnership with Google is part of OpenAI's strategy to reduce reliance on Microsoft, which had been its exclusive data centre provider until January 2025.

Discussions between OpenAI and Google had been ongoing but were previously hindered by OpenAI's commitments to Microsoft. Current negotiations between Microsoft and OpenAI are focused on revising the terms of their investment agreement.

For Google, this collaboration aligns with its efforts to expand its in-house chip technology, known as tensor processing units (TPUs), which have historically been used internally.

This development has helped Google attract clients such as Apple and emerging AI startups, including competitors of OpenAI.

Google's DeepMind unit also competes with OpenAI and other firms in the race to develop advanced AI models.

Earlier in 2025, OpenAI also partnered with SoftBank and Oracle on the $500bn Stargate infrastructure initiative and secured multi-billion dollar agreements with CoreWeave for additional computing resources.

In May 2025, OpenAI announced plans to expand its global AI infrastructure by launching operations in South Korea.

Jason Kwon, the chief strategy officer, announced the establishment of a subsidiary, according to Yonhap.

"OpenAI, Google Cloud partner to expand AI capacity" was originally created and published by Verdict, a GlobalData owned brand.