technology ·
The AI industry's week from hell
A week of political upheaval, financial turmoil and salacious scandal delivered one final indignity to the AI industry Tuesday, as Anthropic's staggering IPO target fell short of expectations.
Why it matters: The bubble is wobbling. Investors, businesses and governments need a spectacular success from Anthropic to stave off a crisis of confidence that could tear through the broader economy. - Facing new political headwinds, the industry can scarcely afford another setback — much less the spectacle of AI's crown jewel losing its luster on Wall Street. His board, the FBI and Congress are investigating. - Nvidia has shed more than $1 trillion in market value since the first New York Times revelations on Oct.
Reality check: Anthropic is still poised for one of the largest IPOs ever, with Google, Nvidia and other technology giants committing another $26 billion in private investment alongside the public offering. - The company could emerge with around $85 billion in net new capital — a historic financial windfall for a company founded less than six years ago. Yes, but: Bubbles don't run on "good enough."
