Anthropic agrees to pay xAI $1.25B monthly for compute through 2029
By
Tim De Chant
Summary
Anthropic has struck a massive deal with Elon Musk's xAI to purchase 300 megawatts of compute power from the Colossus 1 data center near Memphis, Tennessee. The agreement will cost Anthropic $1.25 billion per month through May 2029, with discounted rates for the first two months during xAI's ramp-up. The total deal could generate over $40 billion in revenue for xAI.
Source
bskyAnthropic agrees to pay xAI $1.25B monthly for compute through 2029twp.aiKey quotes
· 3 pulledAnthropic will be paying xAI $1.25 billion per month through May 2029, with a discounted rate for the first two months as xAI completes its ramp-up.
All told, the deal could bring xAI over $40 billion in revenue.
Earlier this month, Anthropic surprised the AI world with a deal to buy 300 megawatts' worth of compute — securing the entire output of the Colossus 1 data center near Memphis, Tennessee.
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