SpaceX's xAI Sells Data Center Capacity to Anthropic for $1.25B Monthly

SpaceX’s AI-focused subsidiary xAI has sold the entire capacity of its Colossus I data center to AI company Anthropic for $1.25 billion per month under a three-year agreement, according to Zero Hedge. Elon Musk revealed that SpaceX is actively seeking additional AI compute customers and plans to develop orbital data centers, aligning with the company’s ambitions for an IPO targeting a valuation over $75 billion.

This deal is notable as Anthropic is also reportedly exploring a shift in its AI hardware suppliers, considering Microsoft’s AI chips to supplement or replace Amazon and Google offerings, which are currently less costly than Nvidia’s technology, NDTV reports. Anthropic and OpenAI together hold more than half of the roughly $2 trillion of future cloud commitments made by major tech firms, fueling debate about the sustainability of AI cloud spending, according to BeInCrypto.

The rapid expansion of AI infrastructure is creating new wealth, with Bloomberg reporting the creation of 19 new AI billionaires in the past year, collectively worth $59.3 billion. This increase brings the total number of AI billionaires to 60 and highlights the sector’s intense growth. However, the Korea Times highlights the risks in the AI supply chain, including vulnerabilities in chip manufacturers like TSMC and Samsung and high levels of debt across various AI companies.

Amid these developments, there is increasing regulatory and market scrutiny. Former President Trump postponed an anticipated AI executive order, reportedly influenced by lobbying from tech leaders concerned about U.S. competitiveness with China, according to Fortune and Rappler reports. Market experts like Michael Burry caution investors about the risks inherent in the AI infrastructure market, especially regarding companies like Nvidia, as reported by TheStreet.

Looking ahead, key aspects to watch include SpaceX’s pursuit of additional AI compute contracts and progress on its orbital data center plans, as well as Anthropic’s finalized hardware partnerships. The broader AI infrastructure market faces potential corrections amid bubble concerns and supply chain risks, while regulatory decisions on AI oversight could reshape the competitive landscape in the U.S. and internationally.