Meta and Anthropic are reportedly in talks over a possible $10 billion deal that will let the social media giant lease computing power to the Claude maker, per a report by Reuters.

If the deal goes through, Anthropic may make monthly payments over the course of two years, and the companies can also exit the deal early, the report said. However, these details are still not finalised.

Anthropic had reportedly proposed the deal in June, and Meta has been working out the specifics of potentially selling compute power to its rival.

Meta CEO Mark Zuckerberg had previously spoken about cloud computing requests that the social media giant was receiving, and confirmed that the company was considering the matter.

Generative AI tasks, especially at the enterprise level that Anthropic caters to, involves heavy computing demands. This, in turn, leads to limits for users or rising prices unless more capacity is made available.

The discussions are in their initial stages and a deal has not yet been confirmed by either Anthropic or SpaceX.

In May, Anthropic and Elon Musk’s SpaceX entered into an arrangement to “substantially” increase the Claude maker’s compute capacity, by using all of the compute capacity at the Colossus 1 data centre.

Anthropic noted the deal, along with several others, enabled it to increase usage limits for Claude Code and the Claude API.