Microsoft shares fell on Tuesday after Anthropic unveiled a suite of AI tools that could compete with the tech giant’s Office products.
The new tools include Claude Sheets, Claude Whiteboards and Claude Data, which let users build spreadsheets, whiteboards and dashboards with their teams.
“Starting today, Claude can build spreadsheets, whiteboards, and dashboards with your team,” Anthropic said in a release. “These work with its existing abilities to create documents, slide decks, and designs.”
The launch takes aim at one of Microsoft’s most important businesses. Microsoft 365, which covers consumer and commercial products and cloud services, is a major source of revenue, and the segment grew 16% in the last fiscal year, according to Microsoft’s 2026 investor letter.
Tuesday’s decline added to pressure that was already building on the stock amid broader volatility in the AI sector.
Tech stocks led last week’s sell-off after the US midterm elections, as investors worried that Democrats could slow the building of data centres.
This week brought fresh jitters. Hotter-than-expected inflation data raised the prospect of interest-rate hikes, while the scandal around Nvidia CEO Jensen Huang clouded the outlook for the world’s leading AI chipmaker.
Against this backdrop, Anthropic is pressing ahead with its initial public offering. The Claude maker began its roadshow this week and aims to price its shares on 18 November.
It is not the first time Anthropic’s launches have shaken markets. Earlier this year, new Claude tools triggered a sharp sell-off in software-as-a-service stocks, as investors reassessed companies seen as vulnerable to AI disruption.
For Microsoft, the message is clear: AI-native rivals are moving directly onto its home turf, turning productivity software into a new battleground.
