Anthropic Plans Nasdaq IPO While Warning of AI's 'Catastrophic Risk'

Anthropic has announced its imminent initial public offering on the Nasdaq, while warning of "catastrophic risk" from artificial intelligence, testing investor confidence in a business currently operating at a loss. The IPO could potentially surpass SpaceX's record $2 trillion valuation and $86 billion raised in June, with analysts suggesting Anthropic might raise up to $100 billion. The company's valuation has increased tenfold to $1.83 trillion in a year, with revenues reaching $16.286 billion, though losses exceed $80 billion. The launch is expected after next week's US midterm elections and before Thanksgiving on November 26. Anthropic, trading as ANT, faces scrutiny over revenue concentration, with 25% from five clients, while Microsoft announced voluntary layoffs for 60,000 employees amid sector cost pressures.