Anthropic is facing increasing pressure from key investors to lower its valuation or delay its initial public offering following a significant decline in US technology stocks. The artificial intelligence company, which developed the Claude chatbot, had been preparing to enter the public markets during the week of November 16, 2026, ahead of the Thanksgiving holiday. Its anticipated offering could raise up to $100 billion, which would make it the largest IPO in history. While the company made its filing public in late October, the final price and size of the offer remain undecided.
According to a report by The Wall Street Journal on Thursday, three major investors participating in the offering believe the proposed valuation must be reduced. One of these backers suggested the company could be valued closer to $1 trillion, a drop of about one third from the previously anticipated price. This shift reflects growing concerns on Wall Street about the sustainability of valuations for AI companies after a wave of selling removed trillions of dollars from the market capitalization of US tech stocks.
The Nasdaq Composite experienced a severe selloff on Thursday, with index members losing approximately $2.5 trillion in value as investors moved away from AI related investments. This decline followed the US midterm elections on Tuesday, which strengthened the position of politicians skeptical of the industry's rapid expansion. Voters also approved restrictions that could complicate the development of new data centers.
Until recently, Anthropic was considered one of the most sought after companies preparing for a stock market debut. Investors spent months anticipating the listing, though questions persisted regarding the extraordinary spending required to develop and operate sophisticated AI systems. The company had already revealed rapid revenue growth alongside substantial losses and significant infrastructure commitments in its earlier public financial disclosures.
Despite the challenging market environment, Anthropic's financial performance remains a critical factor for investor appetite. The company's annualized revenue run rate exceeded $80 billion at the end of October, up from September figures. This growth suggests that demand for its AI products continues to expand, driven in part by the adoption of Claude Code, its AI powered programming tool, and broader use among business customers.
However, the company's high funding requirements continue to be a source of concern. Anthropic held approximately $146.6 billion in cash as of September 30, but it still faces substantial expenses for computing infrastructure, model development, and competition with other leading AI firms. One prospective investor suggested that Anthropic could reduce its fundraising target from $100 billion to approximately $80 billion, which would still allow the company to emerge with more than $200 billion on its balance sheet.
Another investor raised the possibility of delaying the offering until market conditions improve. This option carries its own risks, as institutional investors who suffered losses in the recent selloff may be reluctant to commit large amounts of capital to another major AI investment so soon. Anthropic executives and financial advisers are expected to meet in the coming days to assess their options, having deliberately avoided committing to a definitive valuation or timetable.
The consequences of a delayed or downsized offering could extend beyond Anthropic itself. The company has extensive commercial and financial relationships with major technology firms, including Google, Amazon, and Nvidia. Its expansion is closely connected to the broader AI infrastructure industry, which has attracted enormous investment. A reduction in valuation could affect other technology businesses whose market prices depend on expectations of continued growth in AI spending.
Anthropic is not the only major AI developer experiencing greater scrutiny. Its rival OpenAI has reportedly secured approximately $11 billion of the $30 billion it sought in its latest funding round, valuing the ChatGPT developer at approximately $1.25 trillion. This is below its original expectations. The difficulties facing both companies highlight a growing divide between enthusiasm for AI technology and investors' willingness to finance its development at high valuations.
Anthropic had been expected to surpass the IPO record set by SpaceX in June. Whether it can achieve that milestone will depend on its ability to persuade institutional investors that its revenue growth and long term prospects justify the risks in volatile markets. For now, the company's valuation, fundraising target, and listing date remain undecided, leaving one of the most anticipated stock market debuts of 2026 in a state of uncertainty.
