Anthropic, one of the fastest‑growing AI start-ups, is preparing to raise around $20 billion from venture capital firms and other major investors, the Financial Times reported. The deal would value the company at a stunning $350 billion. Interestingly, Anthropic initially sought around $10 billion to support its expansion plans, but strong investor interest pushed the total to double that amount.
Claim 50% Off TipRanks Premium
- Unlock hedge fund-level data and powerful investing tools for smarter, sharper decisions
- Stay ahead of the market with the latest news and analysis and maximize your portfolio's potential
The company is expected to secure an initial $10 billion to $15 billion as early as Tuesday, with the remainder to be completed in the coming weeks.
The round is being led by Singapore’s sovereign wealth fund GIC and U.S. investment firm Coatue. Sequoia Capital is also expected to make a significant commitment. Existing backers, including Iconiq Capital, Altimeter Capital, Lightspeed Venture Partners, Menlo Ventures, G Squared, and Factorial Funds, are likely to participate as well.
Anthropic Eyes an IPO as AI Adoption Grows
Importantly, the fundraising comes as Anthropic prepares for a potential initial public offering (IPO), which could take place later this year. The company has hired law firm Wilson Sonsini to begin early IPO preparations and has held preliminary discussions with banks about a future listing.
Anthropic, founded by former OpenAI researchers, has built a strong reputation for its focus on “constitutional AI,” a method aimed at making large language models safer and more predictable. Its Claude family of models has gained traction with enterprises looking for powerful AI tools.
The company has also won support from major tech giants such as Amazon (AMZN) and Google (GOOGL), which have each signed multibillion-dollar deals to bring Anthropic’s AI models into their cloud platforms.
Overall, a $350 billion valuation would reflect a huge jump from Anthropic’s earlier funding rounds and points to competition among investors to secure stakes in leading AI companies.
Which Is the Best AI Stock to Buy, According to Analysts?
Investors interested in AI stocks can look at leading publicly traded companies. Tools such as TipRanks’ Best Artificial Intelligence stocks can help investors research potential opportunities using analyst ratings and insights.
