Meta and Microsoft Pull Back From Claude as Anthropic Warns of Revenue Risk

Meta has halved the number of workers using Claude Code, from 60,000 earlier this year to 30,000, TechRadar reported. Its internal alternative, MetaCode, has already passed 30,000 users. Meta had been on course to spend billions of dollars on internal AI usage before imposing token limits, spending controls and other monitoring, according to the report.

Microsoft has asked employees to limit their Claude usage and spend more time with Copilot and other Microsoft tools, TechRadar reported, citing The Information. Microsoft's internal Claude spending was estimated to be on course for at least $1 billion this year, The Information reported. Both Microsoft and Meta run their own AI systems, which can make internal tools a cheaper option for many tasks. Cost is likely one of the biggest factors behind the reduced Claude expenditure, the report said.

The shift mirrors a trend among smaller AI customers. TechRadar noted that U.S. organizations have opted for cheaper Chinese models over domestic alternatives. The calculation is often economic: paying significantly less for a marginally inferior model can become the most viable option for many use cases.

Anthropic has also had a difficult period after the U.S. Department of Defense deemed it a national security supply chain risk. That designation could alter how consumers and enterprises perceive the company, regardless of its potentially political founding, according to the report. In an IPO prospectus, Anthropic warned that "the company may experience material revenue losses or business disruptions attributable to these events," Reuters reported.

The larger risk for Anthropic is financial. Losing billions of dollars in revenue from two of its biggest customers could seriously affect a company that is slated to go public at a reported valuation of more than $2 trillion, according to Reuters.

Editor's Summary Meta and Microsoft are reportedly cutting Claude usage in favor of their own AI tools, with Meta reducing Claude Code seats and Microsoft urging Copilot adoption. The moves, alongside a U.S. Department of Defense supply-chain risk designation, could threaten Anthropic's revenue as it prepares for a reported public listing.