Anthropic’s leaked IPO prospectus once again reminded investors of the enormous cost of the AI build-out. The AI lab plans to spend $518 billion in the coming years on cloud, computing, and infrastructure costs, according to Reuters, after posting a net loss of $42 billion in 2025.
Successful IPOs for both Anthropic and OpenAI are contingent on optimism that revenue from their clients will eventually outpace that spending.
Two new analyses call that math into question.
Michael B. Kelley & Julie Hyman | Yahoo Finance