How Huang's Resignation May Affect Anthropic's IPO
Nvidia planned to invest $10 billion in Anthropic; now the plans may be revised
Nvidia had planned to invest $10 billion in Anthropic on the day of its public offering. Following Huang's departure amid reports of two alleged extramarital affairs and an internal investigation, the company is temporarily led by Chief Financial Officer Colette Kress.
Bloomberg Intelligence analyst Mandeep Singh believes the board of directors may reconsider the size, timing, or feasibility of the investment. According to his assessment, a delay or reduction in the amount would weaken IPO support, although investments from Google and other strategic partners could limit the impact on funding.
PitchBook analyst Harrison Rolfs expects the deal to proceed as planned. However, new agreements by Anthropic for access to computing power may be concluded more slowly. The IPO prospectus lists agreements worth $45 billion with Nscale and $41 billion with Lambda—both companies use Nvidia chips and depend on its support for financing.
Anthropic CEO Dario Amodei advocated for stricter restrictions on chip exports to China, while Huang supported Nvidia's shipments and open models competing with Anthropic's solutions. Analysts believe Nvidia's current commitments will remain in place, but investments in open models may slow down.
Anthropic uses chips not only from Nvidia but also from Amazon Web Services, Google, Broadcom, and AMD. Bloomberg Intelligence analyst Kunjan Sobhani does not expect a deterioration in Nvidia chip performance or overall supply volumes in the short to medium term. Nvidia's first report without Huang is scheduled for Tuesday, with Anthropic's IPO expected in the following days.
