Eric Schmidt's Early Anthropic Investment Poised for $20 Billion Windfall

Eric Schmidt, the former CEO of Google, stands to gain as much as $20 billion from his early investment in the artificial intelligence startup Anthropic, according to a recent report. Schmidt, now 71, reportedly holds approximately 1% of Anthropic, the company behind the Claude chatbot, a stake acquired through investments totaling tens of millions of dollars during the company's 2021 Series A funding round.

Recent investor assessments have placed Anthropic's valuation between $1.8 trillion and $2 trillion in anticipation of its highly anticipated initial public offering (IPO). Even at Anthropic's most recent valuation of $965 billion, Schmidt's estimated stake would be worth close to $10 billion on paper. Bloomberg's Billionaires Index currently values Schmidt's existing net worth at $57.5 billion. A $2 trillion valuation for Anthropic could increase his estimated wealth to nearly $80 billion.

Schmidt's initial investment in 2021 occurred when Anthropic was valued at $461 million, according to PitchBook data cited by Bloomberg. A $2 trillion valuation would represent a more than 4,300-fold increase from that early figure.

Both Schmidt and Anthropic declined to comment on the report to Bloomberg, which could not confirm if the billionaire has sold any of his shares since his initial investment. Anthropic is reportedly preparing to begin marketing its IPO to investors as early as the week of November 9, potentially aiming for shares to trade before Thanksgiving.

Anthropic's seven co-founders are each estimated to be worth around $8 billion on paper, according to Bloomberg's Billionaires Index. Schmidt has cultivated an extensive portfolio of technology investments through firms including TomorrowVentures and Innovation Endeavors, as well as his personal family office, Hillspire. His recent investments include AI startups like Mistral AI, Reflection AI, and World Labs.

Should Anthropic reach a $2 trillion valuation, Schmidt's investment would surpass Innovation Endeavors' successful early bet on Uber, which saw its valuation surge approximately 1,400-fold to $82 billion by the time of its 2019 IPO. Anthropic's valuation has significantly grown, notably after raising $65 billion in May, with venture capital firms Altimeter Capital, Dragoneer, Greenoaks, and Sequoia Capital each contributing over $2 billion. Other prominent backers include technology giants Alphabet, Amazon, Nvidia, and Microsoft.

The potential IPO valuation for Anthropic could rival or exceed that of SpaceX, which achieved a $1.77 trillion valuation in its June IPO, according to Bloomberg.

Schmidt's personal life has also been a subject of public interest. He has been married to philanthropist Wendy Schmidt since 1980. Previously, he dated entrepreneur Michelle Ritter, with whom he co-founded the technology venture Steel Perlot. Their relationship concluded with legal disputes, including a report from the Los Angeles Times that Ritter was ordered to pay Schmidt $10 million. He was also reportedly linked to Alexandra Duisberg, with whom he reportedly split in 2019 before reconnecting in 2020. More recently, speculation arose regarding his relationship with Gloria-Sophie Burkandt, the daughter of a German politician, though a source close to Schmidt characterized their connection as a friendship. A representative for Schmidt declined to comment when contacted by The Post.