Google limits Meta's use of Gemini AI models, FT reports

Google has reportedly placed restrictions on Meta's use of its Gemini AI models, according to the Financial Times. The social media giant sought more computing capacity than Google, owned by Alphabet, could provide, leading to limitations being imposed around March. This decision has disrupted and delayed some of Meta's internal AI projects.

The report indicates that while other Google clients have also faced lesser impacts, Meta has been particularly affected due to its exceptionally high demand. Consequently, Meta has urged its staff to be more efficient in their use of AI tokens, which measure AI usage.

This situation underscores the broader challenge faced by companies in the tech industry: securing enough computing power to meet the escalating demand for AI services. Despite significant investments in chips and data centers, the supply remains constrained. Google Cloud's revenue reached $20 billion in the first quarter, but CEO Sundar Pichai noted that computing power limitations prevented even greater growth and contributed to a near doubling of the cloud unit's backlog.