One of the hottest AI companies in the world right now, Anthropic, is seeking a record-breaking valuation that would place it among the most valuable private companies in the world. It wants to raise $25 billion in this funding round at a target valuation of $350 billion, up from $183 billion in September 2025.
Joining the funding round over the weekend was the venture capital firm Sequoia. It joins Singapore’s GIC and US investor Coatue. Singapore’s sovereign wealth fund GIC and Coatue will contribute $1.5 billion each, according to a Financial Times report (via CNBC).
Anthropic last raised $13 billion in a Series F round that valued the company at $183 billion, the company revealed this in early September. It uses the money from these investment rounds to keep the company afloat while working on a marketable product. For its part, Sequoia is very experienced at investing in technology companies. The California-based company was formed in 1971 and has provided early funding to household names such as Google, Apple, Cisco, and YouTube.
In terms of trying to achieve profitability, Anthropic attempts to recover costs through premium accounts, which it nudges users towards with quite a restrictive free tier. One of the big selling points of Anthropic’s Claude LLM is that it’s widely recognized as one of the best AIs for coding. However, if you stick to the free tier, you are constantly hobbled by usage caps and either use something else or pay for Claude.
We should expect to see more of this across the AI industry as companies work out how to monetize these products. Recently, OpenAI decided to make its $8 per month Go tier available globally and bring ads to users on the Free and Go tiers to increase revenues.
We will likely hear from Anthropic once the funding is finalized via official channels such as its newsroom.