Anthropic IPO Valuation Talks Drop to $1.3T as Major Investors Balk

Anthropic’s prospective IPO valuation has fallen sharply as investors resist the company’s earlier target. Discussions moved from as high as $2 trillion in early October to $1.4-1.5 trillion, and now roughly $1.2-1.3 trillion; some investors reportedly favor a figure near $1 trillion. The latest reduction followed a record Nasdaq 100 selloff, though bankers and investors are still working toward an offering. Anthropic reported $17 billion in third-quarter revenue, up twelvefold year over year, but also a $23.3 billion quarterly net loss. Much of its earlier losses came from accounting revaluations of convertible notes, while operating results were near break-even. Its central funding challenge is a vast $895.4 billion in compute and infrastructure commitments, including nearly $70 billion due within a year. The planned Nasdaq listing could seek to raise at least as much as SpaceX’s record offering.

A separate evaluation by METR found that Anthropic’s models improved about twice as quickly on well-defined tasks as they had a year earlier. The group ruled out compute growth as the cause and suggested AI-assisted research may be accelerating development, but cautioned that the effect might not extend to less measurable real-world tasks. The IPO roadshow was expected in November, yet investors question whether the schedule is viable and are waiting for October revenue figures. A broader technology selloff, public opposition to data-center construction, and weakness among AI infrastructure companies add pressure. The unresolved choice is whether Anthropic proceeds at a lower valuation, reduces its fundraising ambitions, or delays the listing.