Google limits Meta’s use of its Gemini AI models: report

Google has imposed restrictions on Meta’s use of its Gemini AI models after the social media giant requested more computing capacity than Google could provide, as reported by the Financial Times.

Alphabet-owned Google informed Meta in March that it could not fulfill the entire Gemini capacity the company wanted to purchase, leading to disruptions and delays in Meta’s internal AI projects.

While several other Google clients were affected to a lesser extent, Meta suffered significantly due to its high demand for Google’s models, according to the report.

Reuters was unable to independently verify the claims, and both Google and Meta did not respond to requests for comment after business hours.

As a result of the restrictions, Meta has encouraged its staff to utilize AI tokens more efficiently, which measure AI usage, as highlighted in the FT report.

Despite companies investing heavily in chips and data centers, they still struggle to meet the growing demand for AI services due to computing power shortages.

Google Cloud’s revenue reached $20 billion in the first quarter of the year, but CEO Sundar Pichai mentioned that computing power limitations hindered further growth, contributing to a significant increase in the cloud unit’s backlog from the previous quarter.