According to the Wall Street Journal, Anthropic may accept a lower IPO valuation than its $1.5 trillion target due to a tech sell-off and investor nervousness.
Artificial intelligence company Anthropic may face challenges in reaching its previously targeted valuation during its upcoming stock market debut. According to a report published by the Wall Street Journal on Thursday, the company may have to accept a lower valuation than the $1.5 trillion it had been targeting, after a sharp tech sell-off spooked key investors.
The planned listing is taking place amid growing nervousness among the investor community regarding the huge sums of money currently being poured into artificial intelligence. Driven by the recent tech sell-off, investors are expressing increased anxiety over the massive funding directed toward AI initiatives.
Three major investors who plan to take part in the upcoming offering told the Wall Street Journal that the valuation would likely need to be lowered. One of these investors specifically stated that Anthropic's final valuation could end up being closer to the $1 trillion mark instead of the initial target.
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