WSJ says investors have cut Anthropic's expected IPO valuation from about $2 trillion to $1.5 trillion
WSJ reports that investors have cut Anthropic's expected IPO valuation from about $2 trillion to $1.5 trillion, with some believing $1 trillion is more realistic. The tweet says concerns about a pause on data center construction after the midterm elections triggered a $3.2 trillion selloff in US stocks, while Anthropic's annualized revenue exceeded $80 billion at the end of October, and some investors want to see these results before cutting the valuation. The tweet also mentions that OpenAI has raised $11 billion of its $30 billion target at a $1.25 trillion valuation, and says Google, Amazon and Nvidia are closely tied to Anthropic's business, so the impact of an IPO delay or repricing could extend beyond Anthropic itself.
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The original article places the valuation cut alongside data center policy risks after the midterm elections and Anthropic's own growth data, allowing readers to understand the multiple variables in IPO pricing.
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WSJ: Investors have cut their expected Anthropic IPO valuation from about $2T to $1.5T, and some now say $1T is more realistic.
Its all about politics now after the midterm, rather than Anthropic’s own numbers.
Since midterm wins by democrats, the fear of data center moratoriums triggered a $3.2T selloff in US stocks.
Anthropic’s business is still growing, with its run rate above $80B at the end of October, so some investors want those results before assuming a cut.
Even a smaller raise of about $80B would leave Anthropic with more than $200B in cash, given the $146.6B it held on September 30.
OpenAI’s weak fundraising points the same way: it has raised $11B of a $30B target at a $1.25T valuation, below what it first sought.
Because Google, Amazon and Nvidia are closely tied to Anthropic’s business, a delayed or repriced IPO could hurt valuations well beyond Anthropic.