Economy
Investors temper Anthropic IPO valuation expectations over revenue growth
Reuters · 3 hours ago · Read the Full Story on Reuters
AI SUMMARY
Investors are weighing a lower $1.5 trillion valuation for Anthropic's upcoming IPO amid slowing sequential revenue growth and broader concerns over AI financing costs.
- Some current and prospective investors are discussing a valuation of around $1.5 trillion for Anthropic's upcoming November initial public offering.
- The $1.5 trillion figure is a significant step down from the roughly $2 trillion valuation previously expected.
- Anthropic reported its third-quarter revenue jumped 45% sequentially to $16.8 billion and that it was profitable on an adjusted basis.
- Investors were disappointed by the slowing sequential growth rate, as revenue had more than doubled from the first quarter to $11.6 billion in the second quarter.
- Anthropic was founded in 2021 by former OpenAI executives including CEO Dario Amodei and president Daniela Amodei.
- Alphabet's Google and Amazon are investors, computing power suppliers, distribution partners, and AI competitors to Anthropic.
- Anthropic reported a loss of $42 billion in 2025 and projected more spending for the upcoming AI buildout.
- The company has committed to spending at least $518 billion over a decade for cloud services, computing, and infrastructure.
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