Anthropic's compute costs reach 58% of revenue before IPO
Technology
Anthropic is seeing its compute bills skyrocket just as it gets ready to go public.
By September 30, compute expenses had climbed to 58% of revenue, up from 48% last quarter.
Even with revenue jumping from $11.5 billion to $17 billion, rising costs have pushed operating losses higher.
This quarter Anthropic spent $10 billion
To keep up with demand, Anthropic spent $10 billion on compute this quarter and signed pricey deals with SpaceX and others for flexible "neocloud" services.
In an effort to cut back on these costs, the company has launched "Anthropic Direct" to use more of its own infrastructure, but for now, it's still relying heavily on those expensive partnerships.