Google Backs Anthropic’s $19 Billion TeraWulf Lease and Could Gain a Stake in the Project

Google has agreed to stand behind Anthropic’s rent on a huge Kentucky data center being built by bitcoin miner TeraWulf. If Anthropic fails to pay, Google can take over the lease and, under set conditions, even become a part owner of the project.

How the Google Backstop Works

The deal covers a 20 year, $19 billion lease for 401 megawatts of computing capacity. TeraWulf disclosed the agreements in a Wednesday filing, signed on Nov. 4, and they are meant to help the miner raise financing. Capacity is due to start arriving in late 2027, with deliveries running through the second quarter of 2028. Google’s support for each of the three leased sections begins only after that section’s last data hall is handed over.

How a Google Ownership Stake Would Be Calculated

If Anthropic defaults or becomes insolvent, Google can step in as tenant. It may also pay a termination fee and receive a share of Raylan Data, the TeraWulf subsidiary running the site. The share depends on that fee compared with the full cost of land, infrastructure, equipment and financing. A payment equal to 30% of total cost would mean a 30% stake.

Conditions and Limits on Google’s Role

For the first six years, Google generally has to take over the lease rather than end it, unless the TPU pods in the halls, its own AI chips, can use less than half of the power reserved for the tenant. The obligations stop if Anthropic or a related company holds an investment grade credit rating for three months. Any stake would sit in the project subsidiary, not in publicly traded TeraWulf, whose business has been moving from mining toward AI infrastructure.