Anthropic is nearing a deal to raise up to $10B in a new funding round, Bloomberg News reported, citing people with knowledge of the matter.
The discussions are ongoing, and the final amount could change, the report added.
Anthropic did not immediately respond to a request for comment from Seeking Alpha.
The round is led by investment firm Iconiq Capital. Other potential investors include TPG, Lightspeed Venture Partners, Spark Capital and Menlo Ventures, the report noted.
Anthropic has also been in talks with the Qatar Investment Authority and Singapore’s sovereign fund GIC about joining the round, according to the report.
Last month, it was reported that Anthropic — which is backed by Amazon (NASDAQ:AMZN) and Alphabet’s (NASDAQ:GOOG) (NASDAQ:GOOGL) Google — was nearing a funding deal to raise up to $5B at $170B valuation.
Anthropic, which was founded in 2021 by former employees of OpenAI, is the creator of AI chatbot Claude. The AI service is among the three added by the U.S. General Services Administration, besides Google’s Gemini, and OpenAI’s ChatGPT for use in government agencies.
The new funding is expected to boost Anthropic’s competition with OpenAI and Elon Musk’s xAI, each of which has raised billions in capital this year to fund their investments in data centers and talent for developing AI models.
Earlier this year, Anthropic was valued at about $61.5B in a $3.5B round led by Lightspeed.