Sources Reveal New $10B Deal Between Meta and Google

Today’s ESG Updates

• Meta Commits $10B+ to Google Cloud: Meta signs a six-year deal focused on AI infrastructure
• EU Pushes for U.S. Tariff Relief on Cars: The EU is aiming for retroactive applications of U.S. tariff reductions from August 1 
• Trump Eyes CHIPS Act Funds for Minerals: The Trump administration may reallocate $2B from chip manufacturing to boost U.S. critical minerals production
• Lactalis Buys Fonterra’s Consumer Arm for $2.2B: The French dairy giant acquires global brands, with deal closing expected in 2026

New $10B agreement between industry giants, Meta and Google

Sources have shared that Meta has recently agreed to spend more than $10B on Google Cloud services. The terms of this agreement are still confidential, but the deal is known to be six years long. This deal between Meta and Google generally focuses on artificial intelligence infrastructure. Meta is investing heavily in AI infrastructure and talent, following their expected total expenses for 2025 to fall between $114B and $118B, as recently shared in last month’s earnings report. Google is currently aiming to land big cloud contracts to keep up with larger rivals in cloud infrastructure, though the company has declined to comment. Companies can rely on ESG tools to keep up with evolving industry trends and news.

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Further reading:  Google scores six-year Meta cloud deal worth over $10 billion

EU pushes for reduced U.S. autos tariffs from August 1 amid limited exemptions

The EU will work to ensure that lower U.S. tariffs on its car exports are applied retroactively to August 1. Both sides specified in a joint statement that 15% U.S. tariffs would apply to most EU imports. It included the EU’s pledge to eliminate tariffs on U.S. industrial goods and to give preferential market access for a wide range of U.S. seafood and agricultural goods. The statement said that the U.S. tariff relief on autos and auto parts would begin on the first day of the month that the EU introduces the necessary legislation. The EU intends to make proposals by the end of this month to make the tariff reduction applicable from August 1. The joint statement included specific exemptions for various sectors and products, but excluded wine and spirits, which were a key EU demand. However, both sides have agreed to consider other sectors and products for inclusion. 

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Further reading: EU pushes for reduced US autos tariff from August 1 as joint text limits exemptions

Trump considers using $2B in CHIPS Act funding for critical minerals

It has been reported that the Trump administration is considering a plan to reallocate at least $2B from the CHIPS Act to fund critical minerals projects and boost Commerce Secretary Lutnick’s influence over the sector. The proposed move would take funds already allocated by Congress for semiconductor research and chip factory construction, avoiding a fresh spending request. Boosting the Secretary’s role over critical minerals financing will centralise the administration’s approach to the sector after previous investment decisions had prompted questions about the government’s minerals strategy. Trump has been critical of the $52.7B CHIPS Act, which was signed into law in 2022, claiming it amounts to a giveaway to companies. However, it is currently unclear if the Trump administration aims to use the CHIPS Act funds for grants or equity stakes in mining companies, though Lutnick aims to push out the $2B as quickly as possible. 

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Further reading: Exclusive: Trump weighs using $2 billion in CHIPS Act funding for critical minerals, sources say

France’s Lactalis Strikes New $2.2B Deal For Fonterra’s Consumer Business

New Zealand’s Fonterra Co-Operative Group will sell its global consumer and associated businesses to French dairy major Lactalis for $2.24B (NZ$3.845B). Shares of the dairy company have surged by 17.1% in early trading to NZ$5.88, their highest level in 7 years. The sale includes Fonterra’s global consumer business, encompassing the operations of brands such as Mainland and Anchor butter, Kapiti ice cream and cheese, and the Anlene powdered milk supplement. The agreement includes long-term commitments to purchase milk from Fonterra, and covers the dairy company’s Foodservice and Ingredients businesses in Oceania and Sri Lanka, alongside its Middle East and Africa Foodservice operations. Fonterra said that the sale price may rise by NZ$375M if the Bega licenses held by its Australian businesses are included. The deal is subject to approval from Fonterra’s farmer shareholders and regulatory authorities, and is expected to close in the first half of 2026.

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Further reading: France’s Lactalis strikes $2.2 billion deal for Fonterra’s consumer business

Editor’s Note: The opinions expressed here by the authors are their own, not those of impakter.com — In the cover photo: Meta logo against black background, 5 Nov. 2021. Cover Photo Credit: Dima Solomin