In a landmark move that highlights the escalating competition in the artificial intelligence (AI) sector, Microsoft and Nvidia have announced plans to invest in Anthropic, the creator of the Claude AI model. This partnership includes a staggering $30 billion commitment by Anthropic to utilize Microsoft’s Azure cloud services. Nvidia will contribute up to $10 billion, while Microsoft will invest up to $5 billion, according to statements released on Tuesday. Although specific details remain undisclosed, sources indicate that both companies are set to participate in Anthropic’s upcoming funding round. The collaboration underscores the AI industry’s relentless demand for computing power as companies vie to develop systems capable of rivaling or surpassing human intelligence. Microsoft CEO Satya Nadella emphasized the symbiotic nature of the partnership, stating, ‘We’re increasingly going to be customers of each other. We will use Anthropic models, they will use our infrastructure, and we’ll go to market together.’ He also reaffirmed Microsoft’s continued commitment to OpenAI, a key partner in its AI endeavors. This development follows OpenAI’s recent restructuring, which has seen the company pivot further from its non-profit origins, securing greater financial and operational flexibility. Anthropic, founded in 2021 by former OpenAI employees, has emerged as a formidable competitor, boasting a valuation of $183 billion and a rapidly expanding customer base of over 300,000 businesses. The company projects its annualized revenue run rate to potentially triple to $26 billion next year. As part of the deal, Anthropic will collaborate with Nvidia to enhance chip and model performance, committing up to 1 gigawatt of computing power using Nvidia’s Grace Blackwell and Vera Rubin hardware. Industry experts estimate that 1 gigawatt of AI computing could cost between $20 billion and $25 billion. Additionally, Microsoft will grant Azure AI Foundry customers access to the latest Claude models, positioning Claude as the only frontier model available across all three major cloud providers. Analysts view this partnership as a strategic move to diversify the AI economy’s reliance on OpenAI. ‘Microsoft has decided not to rely on one frontier model company,’ noted D.A. Davidson analyst Gil Luria. ‘Nvidia, which was somewhat dependent on OpenAI’s success, is now helping generate broader demand.’ The deal reflects the ongoing consolidation of the AI industry around a few dominant players, signaling a new era of collaboration and competition in the race to advance AI capabilities.
Microsoft, Nvidia to invest in Anthropic as Claude maker commits $30 billion to Azure
