Anthropic reports $16.8 billion Q3 revenue ahead of November IPO

Anthropic disclosed that its third-quarter revenue reached $16.8 billion, a nearly 50% increase from $11.5 billion in the previous quarter. The company stated it is now profitable and cash-flow positive. These figures were presented at an investor event in San Francisco, intended to prepare for a planned IPO in November, which is expected to be the highest-valued IPO in history. Anthropic plans to invest over $500 billion in infrastructure and compute over the next decade. The company’s early prospectus draft includes risk factors comprising nearly one-third of the document, with warnings about existential risks to humanity. Investors remain concerned about whether Anthropic’s growth can sustainably compete with OpenAI and Meta, particularly given the high capital intensity of its business model. Anthropic’s rapid growth and profitability are key selling points for its upcoming IPO, but the massive infrastructure spending requirements and competitive landscape pose significant risks for investors.