A start-up AI company, Anthropic, secures deals worth $5 billion from Microsoft and $10 billion from Nvidia. The partnerships aim to strengthen market positions and fuel AI expansion, making Anthropic valued at over $180 billion.

Microsoft and Nvidia partner with Anthropic to scale up AI models on Azure and use Nvidia’s semiconductors for compute power. Anthropic’s Claude large language model will be available to Microsoft Foundry customers, making Cloud the only frontier LLM on leading cloud services.

Microsoft’s investment in OpenAI evolves as Anthropic, founded by a former OpenAI executive, emerges as a competitor. Nvidia stands to benefit from collaborations with both AI companies, positioning it as a strong stock choice following the Anthropic deals.

Read more at Nasdaq: Nvidia and Microsoft Land a Multibillion-Dollar Anthropic Partnership. Which Stock Benefits Most?