The Race for Trillion-Dollar Backing
The story begins with a frantic financial push that highlights the intense rivalry at the top of the artificial intelligence industry. According to Reuters on October 19, 2026, OpenAI is asking investors for about $30 billion in a funding round it wants to close before Anthropic’s expected public listing in mid-November. Both OpenAI and Anthropic are courting the same short list of sovereign wealth funds and institutional buyers, and only one lab gets to set the valuation benchmark first. As Edward Best of Willkie Farr & Gallagher noted, it is a two-horse race in terms of being public.
For those involved in the talks, the stakes are exceptionally high. The new funding round could value OpenAI at more than $1.4 trillion, up from $852 billion in March, according to Reuters. SoftBank Group and Abu Dhabi’s MGX are among the existing backers in talks for the OpenAI round. OpenAI and SoftBank declined to comment, and Anthropic and MGX did not immediately respond.
Setting the Valuation Benchmark
What unfolded behind closed doors reveals a struggle to lock in terms before market conditions shift. Once Anthropic is listed publicly, it will set a valuation benchmark that every private AI valuation will be measured against. Anthropic is reportedly targeting an IPO valuation of $2 trillion, though some investors have pushed for closer to $1.5 trillion after mixed third-quarter results. If OpenAI raises first, it can set its terms before that benchmark exists.
At its heart, this financial maneuvering also serves as insurance. OpenAI’s funding serves to cover massive infrastructure commitments if weaker IPO markets delay its planned 2027 listing, according to investors familiar with the company. OpenAI met with long-only funds and sovereign wealth funds the week before the report, while Anthropic held its own investor day.
Revenue Claims and Market Realities
Underpinning these astronomical figures are competing claims about financial health and rapid growth. OpenAI reported reaching $50 billion in annualized revenue after launching GPT-6 Astra and expects $70 billion by year-end, though those claims are unaudited. Meanwhile, Anthropic reported its quarterly revenue rising to $16.8 billion in the third quarter from $11.6 billion in the second.
Tensions between the two labs have spilled over into how these numbers are calculated. OpenAI has accused Anthropic of inflating revenue by counting gross contract values, which reflect the full price of a multiyear deal rather than the portion earned as the service is delivered. Anthropic states that it follows established accounting practices, leaving buyers to weigh these metrics as they decide where to place their capital.
Infrastructure Demands and IPO Timing
Investors familiar with the company say OpenAI needs the capital to cover massive infrastructure commitments and strengthen its balance sheet if a downturn in IPO markets delays its planned 2027 listing, according to Reuters. The funding round is expected to move faster than usual for a raise of this size, reflecting the urgency to secure resources before market conditions potentially tighten further.
Some investors view the financing effort as an attempt to secure capital from funds that might otherwise shift resources toward Anthropic’s listing, Reuters reported. OpenAI met with long-only funds and sovereign wealth funds the week before the October 19 report, while Anthropic simultaneously held its own investor day, highlighting the direct competition for the same limited pool of large-scale capital.
During that investor day, Anthropic argued its growth trajectory had steepened considerably. The company told investors it booked more revenue in a single quarter this year than in all of 2025, with quarterly revenue climbing from $4.8 billion in the first quarter to $11.6 billion in the second and $16.8 billion in the third, according to PYMNTS citing a prior report.
Sources
- OpenAI Is Racing to Raise $30 Billion Before Anthropic Goes Public
- OpenAI Is Racing to Raise $30 Billion Before Anthropic Goes Public
- OpenAI Racing to Raise $30 Billion Ahead of Anthropic Listing | PYMNTS.com
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