Microsoft’s Spending on Anthropic AI Is on Pace to Hit $500 Million

OpenAI is Microsoft’s most important AI provider and its biggest cloud server customer.

But as OpenAI does more business with Microsoft’s cloud rivals, Microsoft is doing more business with Anthropic, OpenAI’s archrival.

Microsoft has quietly become one of Anthropic’s top customers and was recently on pace to spend nearly $500 million a year for Anthropic AI to power Microsoft products, according to a person with direct knowledge. At the same time, Microsoft is putting more emphasis on selling Anthropic AI models to its cloud customers, which could generate more revenue for both companies.