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Jon Keegan

Report: Microsoft on track to spend $500 million per year on Anthropic AI

Last fall, Microsoft and OpenAI’s $13 billion partnership seemed to finally be on solid ground.

OpenAI’s restructuring was completed on time, and the companies hammered out an updated agreement that secured OpenAI’s status as Microsoft’s AI provider of choice, but also allowed for Microsoft to work with other companies.

Now Microsoft is doing exactly that. Microsoft has been increasing its spending on Anthropic’s AI, and is on track to spend $500 million per year on the startup’s services, according to a new report from The Information.

The increasingly cozy relationship between the companies includes the rare move of Microsoft offering incentives to its salespeople that allows Anthropic sales to count toward their quotas, per to the report. Microsoft invested $5 billion in Anthropic as part of a big deal in November that included Nvidia.

Microsoft has also been using Anthropic’s AI to power more and more of its own products, such as Github Copilot and 365 Copilot.

Now Microsoft is doing exactly that. Microsoft has been increasing its spending on Anthropic’s AI, and is on track to spend $500 million per year on the startup’s services, according to a new report from The Information.

The increasingly cozy relationship between the companies includes the rare move of Microsoft offering incentives to its salespeople that allows Anthropic sales to count toward their quotas, per to the report. Microsoft invested $5 billion in Anthropic as part of a big deal in November that included Nvidia.

Microsoft has also been using Anthropic’s AI to power more and more of its own products, such as Github Copilot and 365 Copilot.

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