Anthropic revenue nears $17 billion as company prepares for IPO

Anthropic reported $16.8 billion in revenue during the third quarter of 2026, alongside adjusted profitability, as the artificial intelligence company prepares for a potential initial public offering as early as November. The company behind Claude shared the figures with investors during a meeting intended to generate interest in its planned stock market debut. The IPO could value Anthropic at nearly $2 trillion, potentially making it the largest initial public offering in history.

Revenue growth draws investor attention

Anthropic's third-quarter revenue increased more than 45 per cent from the previous quarter, when the company generated $11.6 billion. Anthropic's revenue has been climbing steadily in 2026, with the company reporting $4.8 billion after Q1. The figures show rapid growth over the course of the year, although the latest increase was smaller than the growth recorded between the first and second quarters. Investors are watching the company's financial performance as a measure of its competition with OpenAI and the broader commercial strength of the artificial intelligence industry.

Harrison Rolfes, a private company analyst at PitchBook, said Anthropic's growth remained impressive but showed signs of slowing. He also questioned how much the company was spending to generate its reported revenue, noting that the figures do not reveal the full cost of its expansion. Rolfes said the slower growth between the second and third quarters could affect the valuation Anthropic seeks when it goes public. The company remains privately held, meaning investors have limited access to its financial information compared with publicly traded businesses.

Anthropic pursuing IPO

Anthropic is expected to pursue an initial public offering (IPO) as early as November, with its valuation potentially approaching $2 trillion, which would make it the largest IPO in history. The company has begun meeting with investors to build interest in the offering, using its latest revenue figures and adjusted profitability to demonstrate its financial position. However, questions remain about its underlying costs, how it calculates revenue and whether its growth can justify such a valuation. The outcome will depend in part on investor confidence in Anthropic's ability to maintain its momentum amid intensifying competition in the AI market.

Questions remain about profitability

Although Anthropic told investors it achieved adjusted profitability in the third quarter, the reported figures raise questions about how it calculated that result. It is also unclear whether the $16.8 billion revenue figure represents gross or net revenue. Anthropic has historically counted gross sales through cloud partners as revenue, even though it does not receive the full amount as cash. A company spokesperson declined to comment on the figures. The distinction matters as investors assess the company's financial position ahead of a potential IPO. Revenue growth alone does not establish how much money a business retains after accounting for the costs of delivering its products and expanding its operations.

Serious safety concerns regarding AI

Anthropic's expansion has coincided with growing public debate about the risks associated with advanced artificial intelligence. In early September, Anthropic researcher Jacob Coxon resigned and warned about the potential dangers of the technology. Coxon's remarks came amid increasing concerns about AI-enabled cyberattacks and broader questions about safety. Chief Executive Officer Dario Amodei subsequently published an essay calling for companies to slow down their AI research.

Competition threatens valuation

Anthropic also faces intensifying competition as developers weigh the cost of using different AI systems. Improvements in open-source and open-weight models have given some developers alternatives to tools offered by Anthropic and OpenAI. OpenAI is competing on price, while Meta, Google and SpaceXAI continue developing their own AI models and products.

The changing competitive landscape could affect Anthropic's ability to maintain its growth and justify a valuation approaching $2 trillion. Investors will be assessing not only its revenue and adjusted profitability but also its spending, pricing strategy and ability to retain customers as alternatives improve. With an IPO potentially approaching in November, the company's latest financial figures offer an important indication of its commercial momentum, but questions remain about its underlying costs and the sustainability of its growth.