Nscale in talks with Anthropic on a $45 billion cloud computing deal

Nscale, a company that builds data centers and AI infrastructure, is in talks with Anthropic, the company that developed the Claude AI model. The two companies are discussing a new deal to provide computing power for AI that could be worth about $45 billion.

Reuters reported the talks, citing a source familiar with the matter. The plan is to build a second facility at Nscale's Monarch data center complex in West Virginia, USA. The talks reflect the growing need for infrastructure to run advanced AI models.

Anthropic plans to lease more computing power from Nscale

The new talks follow a deal Anthropic reached in August 2026. That deal, worth $45 billion, was for leasing cloud computing power for AI from Nscale's complex in West Virginia.

The source said the planned second facility at the Monarch complex would have access to an electrical system capable of supplying 460 megawatts of power. It would use advanced Nvidia Vera Rubin chips designed for AI tasks.

Anthropic also has the right to be offered the chance to sign a contract for the third facility planned at the complex before other potential customers. This could allow the company to increase its computing power in the future.

Talks between the two companies are still underway. Some parts of the deal may change before the companies reach a final agreement.

Anthropic did not immediately respond to Reuters' request for comment on the possible deal.

Investor concerns put pressure on Anthropic's planned IPO value

The talks come as AI companies face growing pressure because data centers are expensive to build and companies are relying more on borrowed money to expand.

Bloomberg, which first reported details of the talks, said a group of investors had urged Anthropic to lower the target value for its initial public offering (IPO). This followed several sharp moves in the share prices of AI companies.

This reflects growing concern among investors about the high values placed on companies that need to spend huge amounts on infrastructure, even as demand for their services continues to rise.

CoreWeave's debt raises concerns about data center funding

These developments follow serious pressure on financial markets faced by CoreWeave, a company that competes with Nscale in cloud computing services for AI.

CoreWeave's shares and bonds fell over the past week. Investors were concerned about the roughly $50 billion in debt the company had taken on to fund its data center expansion.

These concerns helped trigger a wider sell-off of AI-related stocks. Investors are increasingly questioning whether companies in the sector can earn enough money to justify their large spending plans and financial commitments.

Microsoft pulls out of an earlier project with Nscale

The possible deal with Anthropic comes after Microsoft withdrew from an agreement that would have made it a major customer for one of Nscale's data center projects.

Microsoft withdrew because electricity could not be delivered to the facility on time. This pushed the expected start of services back to the 2030s.

These events show the practical problems facing AI infrastructure projects, especially the challenge of securing enough electricity to run data centers that use large amounts of power.

Nscale's contracts are worth more than $103 billion

Nscale has grown quickly since it was founded. In just two and a half years, the total value of its contracts rose from about $100 million to more than $103 billion.

The company competes in the AI infrastructure market with several providers that specialize in computing services, including Nebius, Crusoe, and Lambda.

According to Nscale's prospectus, Microsoft and Anthropic are expected to be among its most important customers in the coming period.

Demand for AI computing leads to deals worth billions

The talks between Nscale and Anthropic show how quickly the AI market is changing. Access to computing power and electricity has become a key part of the competition among companies developing advanced AI models.

Although rising demand creates new opportunities, infrastructure companies face major challenges. These include high building and running costs, the need for long-term funding, and the risk that electricity supplies or facility operations may be delayed.

If the new deal is finalized, Anthropic will gain more computing power through another project with Nscale. Nscale, in turn, will add more long-term contracts as competition for AI resources grows.