Microsoft stock falls as Anthropic takes aim at Excel and workplace software

Microsoft shares fell around 2% Tuesday after Bloomberg reported that Anthropic is preparing to introduce a suite of AI-powered workplace tools, including a spreadsheet application that directly challenges Microsoft’s Excel and Google’s Sheets.

The new products, expected to be unveiled at an Anthropic event Tuesday, include a video-call assistant, a data dashboard tool and Claude Sheets, a spreadsheet service that closely resembles Excel and Google Sheets but integrates Anthropic’s AI capabilities directly into the application.

The launch marks a potentially significant expansion of competition for Microsoft, which has been incorporating AI into its Office products through its Copilot platform. Rather than simply providing AI assistants that work alongside existing software, Anthropic is beginning to build its own applications for everyday business tasks.

Claude Sheets is still a relatively basic product and is not designed to handle more sophisticated financial modeling or advanced enterprise workloads, Anthropic product leader Nicholas Lin told Bloomberg. The company believes its integrations with existing spreadsheet software will remain more effective for those applications.

Nevertheless, the move signals Anthropic’s ambition to capture a larger share of corporate productivity spending, an area dominated by Microsoft and Google.

Anthropic is also expanding Claude’s role as a platform for third-party software. The company announced a way for businesses including Adobe, Atlassian and HubSpot to embed versions of their existing applications within Claude.

That strategy creates a potentially disruptive dynamic for established software companies: Anthropic is positioning Claude as an alternative interface through which customers can access business applications, while simultaneously developing competing products of its own.

The timing is particularly notable given Microsoft’s relationship with Anthropic. Microsoft is among the companies participating in a separate $26 billion private placement tied to Anthropic’s IPO, alongside Google, Nvidia, AMD and other technology companies, according to the company’s latest filing.

Anthropic’s rapid growth provides further context for its expanding ambitions. The company reported a revenue run rate of $81 billion as of October 31, up $10 billion from the end of September, according to its IPO filing.

Anthropic is seeking a fully diluted valuation of approximately $1.4 trillion in its planned public offering, making the expansion into workplace software particularly relevant as investors assess its ability to compete beyond its established strength in AI-assisted software development.