Anthropic plans to use all of the compute capacity at xAI's Colossus 1 data center as part of a partnership with the company's owner SpaceX.

The deal gives Anthropic access to more than 300MW of capacity across more than 220,000 Nvidia GPUs within the month. The generative AI company said that the new data center will directly improve capacity for Claude Pro and Claude Max subscribers.

Anthropic said that it has also "expressed interest" in partnering with SpaceX to develop multiple gigawatts of orbital AI compute capacity. In January, SpaceX filed with the FCC to deploy a million-satellite orbital AI data center megaconstellation, but the project still faces significant hurdles.

A month after its filing, the Elon Musk company announced that it would merge with Musk's generative AI company xAI in a deal that valued the two businesses at $1.25 trillion.

The company has faced a number of departures since the acquisition, including most of its cofounders and dozens of staff. Its chatbot Grok is believed to have declined in usage, as Anthropic's Claude has seen subscribers surge.

The Information reports that its model flops utilization was around 11 percent, way below the 40 percent achieved by rivals.

In April, xAI announced that Colossus data center capacity would be used by Cursor. The AI code editing company has also agreed to a $60 billion conditional takeover offer from SpaceX. If SpaceX doesn’t acquire the business, it has to pay $10bn to Cursor.

The deal with Anthropic, a direct competitor to xAI, will see the generative AI firm hand over a little under half of its total GPU fleet of around 500,000. The number of GPUs used by Cursor is unknown.

Musk previously called Anthropic "woke," "misanthropic," and "evil." Following the recent deal, he said on X: "Everyone I met was highly competent and cared a great deal about doing the right thing. No one set off my evil detector. So long as they engage in critical self-examination, Claude will probably be good.

"After that, I was ok leasing Colossus 1 to Anthropic, as SpaceXAI had already moved training to Colossus 2."

Colossus 1 features H100, H200, and GB200 accelerators. The data center has been criticized by civil rights groups for using natural gas turbines in alleged violation of the law.

xAI's Colossus data centers are located in Tennessee. The company came to Memphis in 2024, launching its Colossus supercomputer in a new data center housed in a former Electrolux factory in Memphis’s Boxtown district.

It purchased the site for Colossus 2 in March 2025, and the data center came online in January. A third data center is in the works, located in Southaven, and the company is also spending $659m on another building to be constructed on an adjacent land parcel.