The Newshound

Anthropic's IPO valuation could be slashed by $500bn as investors cool on AI revenue growth slowdown

7bn in Q1 to $16.8bn in Q3 — a pace analysts say could push annual revenue to $110bn by year-end.
7bn in Q1 to $16.8bn in Q3 — a pace analysts say could push annual revenue to $110bn by year-end.

Investors at Anthropic's San Francisco investor day are now pricing the AI company's November IPO at roughly $1.5 trillion — half a trillion dollars below the $2 trillion figure that had been anticipated. Anthropic reported third-quarter revenue of $16.8 billion, a 45% quarterly increase, but the sharp deceleration from the first-to-second-quarter pace left investors underwhelmed. New York City Comptroller Brad Loewe has separately called on Anthropic to put the US listing on hold entirely.

The easing growth rate unsettled investors despite Anthropic telling them it had recorded an adjusted profit in the third quarter for the first time.

A disappointing Anthropic debut could destabilise the broader AI market, with OpenAI's own potential listing widely seen as contingent on the result.

Shares in Nvidia-backed CoreWeave have already fallen sharply amid mounting concern over AI expansion funded heavily by debt.

MoreReutersInvestors temper Anthropic IPO valuation expectations over revenue growth slowdown, sources sayReutersNYC Comptroller Levine urges Anthropic to pause US IPOIrish TimesAnthropic’s quarterly revenue surges 45% to nearly $17bnThe TelegraphAnthropic’s valuation could be slashed by $500bn
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