Anthropic is paying $15 billion a year for access to Elon Musk’s data centers

TL;DR

• Anthropic is paying SpaceX $15 billion annually ($1.25 billion monthly) for access to the Colossus I and II AI training centers in Memphis, Tennessee, through May 2029.
• This revenue stream could nearly double SpaceX's total 2025 revenue of $18.7 billion.
• The contract includes a 90-day termination notice clause, reflecting the volatility of the AI market and competitive dynamics between Anthropic and xAI.
• SpaceX spent $12.7 billion on AI capital expenditures in 2025, accounting for 61% of its total capex, and spent $7.7 billion in Q1 2026 compared to just $1 billion for its space division.
• Anthropic is projected to reach its first quarterly operating profit, with revenue expected to hit at least $10.9 billion, more than doubling its previous March quarter revenue of $4.8 billion.

Why It Matters

This deal signals a massive shift in the AI infrastructure landscape, where traditional space companies are becoming primary providers of high-scale compute resources. It highlights the intense financial desperation of frontier AI labs to secure compute capacity amid local opposition to new data center builds. Additionally, it underscores the aggressive capital expenditure strategies of Elon Musk’s merged entity, which is prioritizing AI growth over its historic space division.

Key Data

• $15 billion: Annual payment from Anthropic to SpaceX for data center access.
• $18.7 billion: Total revenue reported by SpaceX for the year 2025.
• $12.7 billion: SpaceX capital expenditure on AI in 2025 (61% of total spend).
• $7.7 billion: SpaceX AI capital expenditure in Q1 2026 (compared to $1 billion for the space division).
• $10.9 billion: Projected quarterly sales revenue for Anthropic, expected to surpass its $4.8 billion revenue from the March quarter.

Technical Details

• The partnership grants Anthropic access to SpaceX’s "Colossus" data centers, specifically Colossus I and Colossus II, located in Memphis, Tennessee.
• The financial structure involves a fixed monthly fee of $1.25 billion, with a provision for reduced fees during a capacity ramp-up period covering the current and next month.
• SpaceX operates as an "AI compute as a service" provider, offering large-scale training infrastructure to external AI companies beyond its own xAI division.
• The AI division of SpaceX (resulting from the merger with xAI) recorded an operating loss of $6.3 billion on $3.2 billion in revenue in 2025, and a $2.5 billion loss on $818 million revenue in Q1 2026, indicating a heavy investment phase with limited current returns.

Industry Insight

• The 90-day exit clause suggests that despite the massive commitment, AI companies retain significant flexibility to pivot hardware partners as model efficiency and training needs evolve rapidly.
• SpaceX is repositioning itself as a diversified tech giant with AI infrastructure as a core business pillar, potentially surpassing its space launch revenues in the near future due to the high-margin service contracts like the one with Anthropic.
• Local opposition to data center construction is becoming a major bottleneck, driving frontier labs to seek existing large-scale facilities like SpaceX’s, even if those facilities belong to competitive entities.

FAQ

Q: What is the total value of the contract between Anthropic and SpaceX?
A: The contract is valued at approximately $15 billion annually, totaling roughly $45 billion over the three-year term ending in May 2029.

Q: How does SpaceX's investment in AI compare to its space division?
A: In Q1 2026, SpaceX spent $7.7 billion on AI capital expenditures compared to only $1 billion on its space division, indicating that AI is now the primary driver of the company's capital allocation.

Q: Is Anthropic profitable?
A: Yes, according to the article, Anthropic is on track for its first quarterly operating profit, with revenue expected to at least double its previous quarter's earnings.