xAI sells all compute capacity at Colossus 1 data center to Anthropic, shifting from AI model developer toward infrastructure provider.

xAI and Anthropic announced a partnership in which Anthropic is buying out all of the compute capacity at xAI's Colossus 1 data center, roughly 300MW. xAI had already moved training to a newer data center, Colossus 2, and did not need both facilities.

The deal signals xAI is positioning itself as a neocloud business—a provider that buys GPUs from suppliers like Nvidia and rents computing power to model developers. This differs from rivals like Google and Meta, which preserve compute capacity for their own AI product development.

xAI was valued at $230 billion in its January funding round. The move monetizes one of the company's most significant infrastructure accomplishments and adds revenue as the company, now combined with SpaceX, moves toward an IPO.