AI startup Anthropic to raise $2B in funding at $60B valuation

A new funding round could value artificial intelligence company Anthropic at $60 billion, marking a significant increase from its previous $18 billion valuation.

Deal specifics: Anthropic is in advanced discussions to secure $2 billion in funding, led by Lightspeed Venture Partners.

• The potential valuation represents more than a threefold increase from Anthropic’s previous valuation achieved in a Menlo Ventures-led round
• The funding would strengthen Anthropic’s position in the competitive AI market, where it competes with its Claude chatbot against rivals like OpenAI’s ChatGPT

Strategic backing: Anthropic has attracted substantial investments from major tech companies seeking to establish strong positions in artificial intelligence.

• Amazon recently doubled its investment in Anthropic to $8 billion
• Google parent company Alphabet committed to $2 billion in total investment, with an initial $500 million in 2023 and plans for an additional $1.5 billion

Company leadership: Anthropic’s trajectory has been shaped by its founders’ expertise in the AI field.

• The company was co-founded by former OpenAI executives Dario and Daniela Amodei
• This OpenAI connection is notable given the competitive dynamics between the two companies in the AI space

Market context: The AI sector continues to attract massive investment as companies race to develop and deploy generative AI technologies.

• OpenAI, Anthropic’s primary competitor, secured a $6.6 billion funding round in October that valued it at approximately $157 billion
• The investment surge follows the November 2022 launch of ChatGPT, which sparked increased interest and competition in generative AI

Future implications: The substantial valuation increase suggests growing investor confidence in Anthropic’s technology and business model, though questions remain about the sustainability of such high valuations in the AI sector and the company’s ability to compete with well-funded rivals like OpenAI.