Nscale in talks with Anthropic on additional $45 billion computing deal

Nscale, a company that provides computing power through cloud services, is discussing an additional $45 billion deal with Anthropic to supply computing power for AI, Reuters reported on Oct. 19, citing sources. Bloomberg first reported the news.

The report said Nscale is talking with Anthropic about building a second facility at the Monarch data centre campus in West Virginia. The facility would provide 460 megawatts of computing power using Nvidia's latest AI chip, Vera Rubin. In August, Anthropic agreed to lease $45 billion worth of AI computing power at the campus.

A source said Anthropic also has the right to be the first to negotiate over a third building at the Monarch campus. Talks are still ongoing, and the details could change.

The news of these talks came after Microsoft canceled its data centre contract with Nscale.

Microsoft canceled the contract because delays in connecting to the power grid pushed the expected supply date into the 2030s.

In just 2.5 years, Nscale increased the total value of its contracts from $100 million to more than $103 billion. It competes with Nebius, Crusoe and Lambda in the market for cloud services that provide computing power. Reuters reported that Nscale's document for its planned stock market listing says Microsoft and Anthropic will be major customers in the future.