In a strategic move to capture more of its customers’ AI spend, British neocloud Nscale is acquiring Anyscale for $1.65 billion. Founded by the creators of Project Ray, an open-source distributed Python framework, Anystack now offers scalable services vital for running large language models and other intensive AI tasks.

With this deal, Nscale is expanding its vertical integration to include workload management and scaling, aligning with its recent partnerships with tech giants like Microsoft and BT. At a valuation of $14.6 billion, Nscale has been busy investing in compute and data center collaborations. Anyscale’s team of 200 will join forces under the Nscale banner.

“Together, we can co-design the software layer and infrastructure beneath it,” Anyscale stated, underscoring how combining their expertise could lead to more efficient solutions for AI workloads. This acquisition marks another step in Nscale’s mission to become a one-stop-shop for all compute needs in the AI era.

Meanwhile, Anyscale has seen its revenue surge by 70% in the latest quarter, showcasing strong growth potential. The deal will enable Nscale to offer an even more comprehensive suite of services to its clients, solidifying their position as a leading player in AI neocloud technology.