Anthropic may report first operating profit in June quarter: Report

San Francisco [US], May 21, (ANI): Anthropic may report its first profitable quarter as it expects the revenue to more than double at $10.9 billion in the June quarter, according to Reuters. The AI player could report an operating profit of $559 million, the report quoted a person familiar with the development.
The company had reported a revenue of $4.8 billion in the March quarter.
The San Francisco-based startup informed investors as part of latest funding round about the financials. The company's explosive growth has been driven by sales of its AI tools including the popular Claude AI model which has generated lot of buzz as users test its capability to carry out 'agentic' tasks.
The operating profit in June may not extend for the entire year as the company ramps us spending for its AI compute requirements. Anthropic's ongoing funding round could see its overall valuation zoom past that of OpenAI, WSJ reported. Both companies along with SpaceX are preparing for public listing that could see each of them being valued at more than a trillion dollars, according to the WSJ report.
Anthropic's expected profit in the June quarter has surprised many as AI needs huge spending for compute infrastructure. The SpaceX IPO filing revealed that Anthropic would pay Elon Musk's space and AI company $1.25 billion dollars a month for access to its computing power which includes AI training data center clusters, Colossus and Colossus II, Reuters reported.
Anthropic's relationship with the Trump administration had taken a hit recently as it didn't agree to the defence department's demand for its tools to be allowed for 'lawful uses'. Trump had asked all the federal agencies to snap any ties with Anthropic. However, things have likely improved since then, the WSJ report said.
Anthropic's compute spending is also expected to improve as it scales. Its business model also helps in improving the metrics as it has a limited consumer business compared to OpenAI which has to subsidise the vast free users of its AI model ChatGPT. Anthropic uses chips from Google and Amazon which cost less compared to the ones developed by Nvidia.
Its CEO Dario Amodei had recently said that the company's growth had become "too hard to handle" and that he hopes for more "normal growth". (ANI)

(This article was generated from news agency ANI without modifications to the text.)