Anthropic's Record-Breaking IPO to Boost Amazon and Alphabet
Anthropic's planned initial public offering (IPO) is expected to be a record-breaker, with the AI lab seeking a $2 trillion valuation and potentially raising $100 billion in newly issued shares. This would top the $1.77 trillion/$86 billion IPO from Space Exploration Technologies in June.
Both Amazon and Alphabet hold significant stakes in Anthropic, which could boost their fourth-quarter earnings if the IPO happens as planned. Amazon marked its investment to market at the end of the second quarter, when Anthropic raised new capital at a valuation of $965 billion. The round included fresh capital injections from both Amazon and Alphabet.
If Anthropic doubles its value with its IPO, both companies are poised to book tens of billions in additional unrealized gains on their stock and convertible notes. This will boost their GAAP net income, and they'll be able to liquidate their investments after the lockup period expires, providing capital for new AI data centers.