AI startup Anthropic is projected to report profitability for the second consecutive quarter as it prepares for its initial public offering (IPO). In contrast, its competitor OpenAI has announced it will not go public this year due to declining performance and recent safety controversies surrounding AI.
On September 13, the Financial Times reported, citing multiple sources, that Anthropic informed a small group of shareholders that its adjusted operating profit (excluding stock compensation costs) is expected to show profitability for the third quarter. Last month, Anthropic reported a staggering 14-fold increase in second-quarter revenue to $11.5 billion compared to the same period last year, marking its first-ever adjusted operating profit of approximately $559 million. Additionally, as of the end of July, Anthropic's annualized revenue was projected to reach $65 billion, a more than sevenfold increase from $9 billion at the end of last year.
Sources indicated that Anthropic's gross profit margin exceeds 80% before accounting for revenue-sharing costs with distribution partners like Amazon and model training expenses. This focus on profitability is crucial for investors as Anthropic approaches its IPO, which is anticipated to occur within the next month, according to the Financial Times.
Currently valued at around $965 billion, Anthropic is pursuing an IPO that could exceed $20 trillion to secure additional computing resources necessary for AI model development, surpassing the record $1.77 trillion IPO set by SpaceX this year.
Joy Brookhart, a researcher at semiconductor and AI research firm SemiAnalysis, projected that Anthropic's annual revenue could reach $120 billion this year and nearly triple that amount next year. He stated, "If this level of profitability and growth continues, competing with Anthropic will be very difficult due to their substantial computing resources."
According to Reuters, Anthropic plans to initiate its IPO process in mid-October, aiming to complete the listing just days before the U.S. midterm elections on November 3. Sources indicated that Anthropic has chosen Nasdaq as its listing exchange.
AI Safety Concerns as a Variable
However, the Financial Times noted that recent concerns regarding AI safety and calls for a slowdown in the development of advanced AI models could pose challenges. Slowing down the pace of advanced AI model development might reduce costs for computing resources like semiconductors, but it could also provide an opportunity for emerging AI companies in countries like China to catch up.
Dario Amodei, CEO of Anthropic, expressed his concerns about the rapid advancement of AI technology in a blog post on September 12, urging the entire AI industry to participate in slowing down the development of advanced models. He announced plans to implement new safety measures, including involving independent evaluation organizations with access levels similar to employees. This initiative has garnered support from key figures in the AI industry, including Sam Altman, CEO of OpenAI, and Elon Musk, CEO of SpaceX and Tesla.
Meanwhile, OpenAI, which also aimed for an IPO this year, has decided to postpone its plans amid the recent safety controversies. In an interview with Fortune published on September 12, CEO Sam Altman stated that the timing is not right for an IPO and confirmed that there will be no public offering until next year.
OpenAI's decision to halt its IPO plans is also influenced by its underwhelming performance. According to a report by the Wall Street Journal last month, OpenAI's second-quarter revenue reached $6.7 billion, an 18% increase from the previous quarter, but its operating loss (including stock compensation costs) widened to $12.3 billion, a 32% increase.
* This article has been translated by AI.
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