xAI Pivots to Compute: The AI Company Turned Cloud Provider

xAI's sale of Colossus 1 compute capacity to Anthropic marks a strategic pivot from AI developer to cloud infrastructure provider—a rare move that contrasts sharply with Google and Meta's approach of hoarding GPU resources for internal AI development. The deal signals that Elon Musk's real business focus may be compute infrastructure, not consumer AI, with implications for SpaceX's orbital data center strategy.