SpaceXAI has struck a partnership agreement with Anthropic to use all of the compute capacity at SpaceX’s data center Colossus 1 in Memphis, Tennessee.

“We’ve agreed to a partnership with @SpaceX that will substantially increase our compute capacity. This, along with our other recent compute deals, means that we’ve been able to increase our usage limits for Claude Code and the Claude API,” Claude wrote in a post on X.

The partnership will give Anthropic more than 300 megawatts of additional capacity (over 220,000 NVIDIA GPUs) to deploy within the month.

Anthropic also highlighted three changes the company is making in an effort to “improve the experience” of Claude for its users. 

First, the company is doubling Claude Code’s five-hour rate limits for Pro, Max, Team, and seat-based Enterprise plans. Next, Anthropic is removing the peak hours limit reduction on Claude Code for Pro and Max accounts. Additionally, the company is raising its API rate limits considerably for Claude Opus models.

Anthropic has recently been expanding its computing capacity through multiple new agreements, including a multi-billion dollar deal with Amazon. The company also signed a 5 GW agreement with Google and Broadcom that is expected to be available next year. 

“We train and run Claude on a range of AI hardware—AWS Trainium, Google TPUs, and NVIDIA GPUs—and continue to explore opportunities to bring additional capacity online. As part of this agreement, we have also expressed interest in partnering with SpaceX to develop multiple gigawatts of orbital AI compute capacity,” the company stated in the announcement.

Anthropic added that they are “very intentional” about where they will add capacity, looking to partner with “democratic countries whose legal and regulatory frameworks support investments of this scale, and where the supply chain on which our compute depends—hardware, networking, and facilities—will be secure,” the company said.

xAI operates two facilities in the area known as Colossus and Colossus II, with Colossus II described as a roughly 1 million-square-foot site in Southaven. The lawsuit claims xAI installed and used as many as 27 gas turbines at the Southaven site, describing each unit as comparable in size to a bus. It also alleges the Southaven facility could produce more than 1,700 tons of nitrogen oxides annually, along with other toxic chemicals such as formaldehyde.

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