Why Ginkgo Bioworks Stock Is Climbing Tuesday

Ginkgo Bioworks Holdings Inc DNA shares are trading higher Tuesday after the company announced a strategic cloud and AI partnership with Google Cloud

What Happened: Ginkgo and Alphabet Inc's GOOG Google Cloud announced a five-year partnership focused on enabling the development and deployment of AI tools for biology and biosecurity.

Ginkgo said it will work to develop new large language models (LLMs) running on Google Cloud's Vertex AI platform focused on genomics, protein function and synthetic biology. The LLMs will help customers accelerate innovation and discovery in several segments. 

Google Cloud said it will provide funding to help Ginkgo achieve certain milestones over the next three years. Ginkgo intends to make Google Cloud its primary cloud services provider. 

"We believe that by partnering with Google Cloud, Ginkgo can supercharge our mission to make biology easier to engineer," said Jason Kelly, co-founder and CEO of Ginkgo Bioworks.

"With Ginkgo's automated Foundry to generate large scale biological data, Google Cloud's computing horsepower, and Google's AI expertise, I can't think of a better partner to scale AI solutions in biological engineering."

The companies will discuss the new partnership at the Google Cloud Next conference, which kicks off Tuesday. 

See Also: Google Ventures into Renewable Energy Mapping, Targets $100M Revenue with New API Offerings

DNA Price Action: Ginkgo shares were up 9.5% at $1.96 at the time of publication, according to Benzinga Pro.

Photo: Lorenzo Cafaro from Pixabay.

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