AI stock sell-off threatens Anthropic's IPO timeline

A sharp sell-off in technology stocks and political backlash against artificial intelligence have cast doubt on the timing of Anthropic's planned November IPO. Investors want the discussed $1.5 trillion valuation lowered, according to sources who spoke to Reuters.

Investors expected to participate in artificial intelligence company Anthropic's highly anticipated initial public offering are questioning whether the company can begin its planned roadshow next week and complete the IPO in November. Investors view the recently discussed $1.5 trillion valuation as being at the upper end of expectations and want a more attractive price, according to sources who spoke to Reuters.

The discussions reflect the impact of the year's sharpest technology sell-off and geopolitical uncertainty on new IPOs. Wall Street and Silicon Valley are debating whether the company will proceed with the offering after a two-day sell-off in AI stocks following the November 3 U.S. midterm elections. Anthropic, led by CEO Dario Amodei, declined to comment.

The roadshow was expected to begin the week of November 9, with pricing set for the following week. Investors understand that the company needs capital because of its quarterly losses and the large commitments it has made to partners for AI infrastructure, according to the sources. Anthropic may therefore have to accept a larger discount. Investors are also awaiting the October revenue figure that the company left blank in its updated S-1 filing.

Japan's Prime Minister Sanae Takaichi with Anthropic CEO Dario Amodei and his delegation (October 2025)

A delay to the IPO could intensify concerns about the health of the sector at a time when political opposition to AI is becoming more pronounced, with votes limiting data center construction approved in several states. It could also pose a risk to U.S. stock markets, which are heavily weighted toward large technology companies. Earlier this year, investors expected the IPO to take place in October at a valuation of up to $2 trillion.

"These companies are going to be part of the future. They will go public, and investor interest will continue. Valuations in private markets had been rising for a long time, so we will probably see some pullback," said Rick Meckler, a partner at Cherry Lane Investments. Even if an agreement is reached on the valuation, the company could delay the IPO, which some expect to reach $100 billion in size, until the market recovers if pressure on AI assets persists, according to the sources.

AI stock sell-off threatens Anthropic's IPO timeline