Anthropic Is Aiming for the Biggest IPO Ever -- Here's the Chip Stock to Buy Before It Lists
One chipmaker's shaping up as both the AI lab's supplier and its reported lender.
Overview
Anthropic, the company behind the Claude chatbot, confidentially filed for an initial public offering (IPO) in June. Now the artificial intelligence (AI) lab's reportedly aiming to raise up to $100 billion when it lists. This would beat the $86 billion SpaceX raised in June in the biggest IPO ever.
Most investors can't buy Anthropic stock yet. But one public company's closely linked to the AI lab's spending. On Oct. 1, Reuters reported that Anthropic's IPO filing says Broadcom (NASDAQ:AVGO) has agreed to loan Anthropic up to $42 billion using convertible notes. This could cover about a third of a $125.2 billion, five-year commitment Anthropic has made to lease computing capacity on tensor processing units (TPUs), custom AI chips Broadcom helps design.
Details
Broadcom stock trades around $355 as of this writing, off about 28% from its 52-week high. At that price, I think the chipmaker is worth a close look before Anthropic lists.
Source
Originally published at www.fool.com.