TLDR
- Nscale is in talks to sell Anthropic about $45 billion in AI computing power.
- The deal covers a second Monarch building in West Virginia with 460 megawatts of capacity.
- Nvidia’s Vera Rubin chips would power the facility.
- Nscale is seeking about a $30 billion valuation in its planned US IPO.
- A deal could be finalized in the coming days, but details could change.
Nscale is in talks to sell computing power to Anthropic in a deal that could be worth about $45 billion. People familiar with the talks shared the details with Bloomberg and Reuters.
BREAKING: Anthropic is in talks to buy $45 billion of computing power from Nscale, the Nvidia-backed data center developer, per Bloomberg.
A deal could be finalized as soon as in the coming days and would bolster Nscale’s IPO prospects.
— The Kobeissi Letter (@KobeissiLetter) October 19, 2026
The AI cloud firm wants a second major deal with the company behind Claude. It would cover a second building at its Monarch data center campus in West Virginia.
The second building would deliver 460 megawatts of computing power. It would use Nvidia’s Vera Rubin AI chips, according to sources.
Anthropic also holds the right of first refusal on a planned third building at Monarch. Talks are ongoing, and details could change.
Background on the Monarch Campus
Anthropic already has agreements with Nscale worth as much as about $44.6 billion, based on Nscale’s IPO filing. In August, it agreed to spend $45 billion to rent computing power from the West Virginia campus.
The Monarch campus can scale to more than 8 gigawatts of gross power when complete. The filing documents show this.
Microsoft first planned to lease part of the campus. It signed a letter of intent in March.
Microsoft walked away from the site in the summer. Power connection delays pushed the expected supply date into the 2030s, and Anthropic became the tenant.
Nscale has grown quickly since it launched. Its total contracted value rose from $100 million to more than $103 billion in two and a half years.
It competes with Nebius, Crusoe and Lambda. Microsoft and Anthropic are expected to be its major future customers, according to the prospectus.
IPO Plans and Market Pressure
Nscale filed publicly for a US listing in September. It is seeking about a $30 billion valuation in its market debut.
The company has not started formal marketing even though the 15 day waiting period has ended. It is working through comments from the US Securities and Exchange Commission.
Some investors urged the firm to lower its IPO valuation target, Bloomberg reported. Investors have also grown wary of the large sums borrowed to fund AI data centers.
Last week, shares of rival CoreWeave fell over concerns about its $50 billion debt load. The drop fueled a global selloff in AI stocks.
Anthropic has signed other large deals. These include $50 billion with Fluidstack, $10 billion with Volta Infrastructure Holdings and $45 billion with SpaceX.
Anthropic was valued at $965 billion in May. It is expected to hold its own IPO in the coming months.
Nscale raised $3.36 billion in a pre-IPO round last month, led by Third Point. Nvidia, Apollo Global Management, Citadel, Hudson Bay Capital and Abu Dhabi Investment Council also took part.
A deal could be finalized as soon as the coming days, the people said. Representatives for Anthropic and Nscale declined to comment.
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