Artificial intelligence company Anthropic is reportedly preparing for an initial public offering (IPO) that could rival or surpass the scale of SpaceX's record-setting IPO. The company, known for its Claude AI model, is said to be targeting a valuation of at least $2 trillion, which would eclipse SpaceX's $75 billion IPO, the largest first-time share sale on record. The final figure for SpaceX's offering reached $86.2 billion after the exercise of an overallotment option. Anthropic has already filed for its listing confidentially.
While exact timelines for Anthropic's IPO remain undisclosed, potential dates range from late August to October. This positions the company to potentially list ahead of its rival, OpenAI, which is reportedly looking at a flotation next year. The prospect of another significant IPO is expected to be welcomed by investors seeking opportunities in the rapidly growing AI sector, despite ongoing concerns about the high valuations of such companies.
UK Investor Access Uncertain
It is currently unclear whether UK retail investors will have access to Anthropic's IPO, a situation that differed from SpaceX's offering. SpaceX's IPO was the first to utilize the UK's Financial Conduct Authority's Public Offer Platform (POP) regime, introduced in January, which enabled over 100,000 UK investors to purchase shares. If Anthropic chooses to follow suit, it could open doors for UK investors. Trading platforms in the UK will have a clearer indication of retail investor allocation once Anthropic sets a firm IPO date. Otherwise, individual investors may need to wait until the shares become freely tradable on the first day of listing.
Richard Hunter, head of markets at Interactive Investor, suggested that investors seeking indirect exposure could consider shares in major backers like Google, Amazon, or Microsoft, as Amazon and Google are significant investors and distributors of Anthropic's Claude product. Alternatively, AI-themed exchange-traded funds (ETFs) offer broader exposure to the AI market without direct investment in a single company.
Investment Considerations Amidst AI Boom
The AI market is experiencing significant growth, but concerns about a potential bubble persist, with valuations reaching unprecedented levels and companies increasing debt to fund infrastructure like data centers and chips. Anthropic's backers maintain that its $2 trillion valuation target is justified by strong demand for its advanced AI models and tools. The company has attracted substantial investment, including approximately $13 billion from Amazon, with an option to invest up to $33 billion more.
Financial documents indicate that Anthropic's net loss for 2025 was close to $42 billion, an increase from $8.3 billion the previous year. However, the company reported to investors that its annualized revenue run rate reached $65 billion by the end of July. AI firms are investing heavily in developing sophisticated AI systems, a process that requires significant computing power. Hunter noted the company's rapid revenue growth, with annualized revenue surging from $9 billion to over $44 billion between May and November of the previous year. Revenue primarily comes from business clients, and its Claude Code release generated over $1 billion in revenue within six months, with the number of companies paying over $1 million annually doubling to 1,000 by April.
However, the company has indicated it does not expect to achieve profitability in the latter half of the current year due to increased infrastructure spending. Reports have also surfaced regarding infrastructure strain and power bottlenecks affecting AI services. Experts caution that despite high expectations, investors should be mindful of market dynamics. Axel Rudolph, chief technical analyst at IG, advised that an explosive opening for Anthropic's IPO could be followed by a market correction, drawing a parallel to SpaceX's IPO performance, where an initial surge in share price was later followed by a decline below the launch price. This highlights the challenge of sustaining the euphoria surrounding high-profile technology listings.