AI backlash could threaten Anthropic IPO timing, potential investors say: Reuters exclusive

Summary

• Potential investors doubt Anthropic can proceed with its planned November IPO roadshow due to market conditions.
• Investors are pushing for a lower valuation than the previously discussed $1.5 trillion, viewing the current figure as too high.
• Recent sharp technology stock selloffs & geopolitical uncertainty are contributing to investor hesitation.
• Anthropic may need to offer a larger discount to secure commitments given its quarterly losses & large AI buildout commitments.
• Investors are awaiting October revenue figures from Anthropic's S-1 filing to assess growth after recent slowdowns.
• A potential IPO delay could fuel concerns about the AI ecosystem & broader stock market health.
• Some analysts believe Anthropic could benefit from strong retail investor demand despite current market pressure.
• If AI asset markets remain under pressure, Anthropic may delay the offering until conditions improve.
• A Wall Street Journal report notes skepticism among investors regarding a $1.5 trillion public valuation.
• Microsoft has tightened oversight on data center projects from providers like Nebius, IREN, & Nscale.
• Credit default swaps for CoreWeave & SpaceX hit records, implying increased default expectations.
• Over 50 S&P 1500 technology stocks dropped 10% or more, with retail selling at pandemic-era highs.
• Tech stocks underperformed the S&P 500 by 10.7% over the past month, marking the worst one-month gap since May 2002.