Musk's companies team up with Anthropic in a huge AI computing deal worth over $40 billion

Struggling to get enough computing power for AI? Musk's companies are going all in. SpaceX has started providing large-scale AI computing services to Anthropic, and plans to offer similar deals to other companies. Musk even hinted at building data centers in orbit in the future. Earlier this month, Anthropic signed a massive deal with Musk's xAI: paying $1.25 billion per month for 300 megawatts of computing power until May 2029. This deal could bring in over $40 billion for xAI. According to a filing with the U.S. Securities and Exchange Commission, SpaceX says this helps them make money from unused computing capacity. Either side can cancel with 90 days' notice. SpaceX expects to sign more such contracts. If you need AI computing power, keep an eye on these big moves—maybe one day you can rent cheap cloud computing too.