The Information reported on October 5 that about 30,000 Meta employees now use Claude Code, down from roughly 60,000 earlier in the year, and that Microsoft cut its projected internal spending on Anthropic technology — at least $1 billion — by more than a third.

The cuts cover only internal use. Meta's decline partly reflects spring layoffs that cut about 10 percent of its workforce, but the main driver is Meta's push into its own tools: its internal coding tool MetaCode has more than 30,000 users, and Muse Code — built on Meta's own models — has more than 6,000 internal users. Microsoft customer spending on Anthropic's models through its enterprise platforms is still growing, according to The Information.

The report lands as Anthropic's federal business faces pressure from the Pentagon fight, even as it expands elsewhere in government. For Anthropic, losing internal seat-share inside two of its biggest partner-customers is a competitive signal about how fast the labs are swapping in their own models.