Nvidia Circular AI: Anthropic Signs $35B Cloud Deal Using Hut 8 Campus

Anthropic has agreed to buy $35 billion of cloud computing from Nvidia-backed Lambda for capacity at a Texas data center, according to The Wall Street Journal which first reported the deal, citing a person familiar with the agreement.

The project covers roughly 350 megawatts in Nueces County and is being developed by Hut 8. The Wall Street Journal also reported Nvidia itself holds the lease on the facility and will supply the chips used by Lambda.

Nvidia invested in Lambda’s $480 million Series D in 2025. It has also publicly disclosed an investment and technology partnership with Anthropic, whose Claude models are major consumers of AI computing capacity.

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Hut 8 has not publicly identified Nvidia as its Beacon Point tenant. In July, the company said a high-investment-grade technology customer had signed two 15-year leases totaling 704 MW of IT capacity at the 1 GW Texas campus, carrying a combined base-term contract value of $19.6 billion. Reuters said the Financial Times previously identified Nvidia as that tenant.

Anthropic is simultaneously expanding through other Nvidia-linked infrastructure. Last week, it committed $45 billion to rent 460 MW of AI computing capacity from Nscale in West Virginia, another Nvidia-backed cloud provider.

The overlap is adding to scrutiny of so-called circular AI financing, where capital from major suppliers can help finance customers and infrastructure that ultimately generate demand for those suppliers’ products. Nvidia has rejected the characterization that these arrangements artificially manufacture demand.

For the Texas project, however, key economics remain undisclosed, including what Lambda pays Nvidia for capacity and the financial terms connecting Nvidia to Hut 8. None of the four companies had publicly confirmed the $35 billion agreement when Reuters reported it.

Information for this briefing was found via the sources and the companies mentioned. The author has no securities or affiliations related to this organization. Not a recommendation to buy or sell. Always do additional research and consult a professional before purchasing a security. The author holds no licenses.

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