Anthropic mints record gains in record time

Anthropic CEO Dario Amodei Finn Gomez/Getty Images Katie here. The Anthropic S-1 is here, and it confirms what VCs have been whispering for months: this is a company moving at warp speed. Just over three years after its first major VC round, Anthropic is poised to break IPO records and deliver historic wins to its earliest backers.What stood out to me was how incredibly fast Anthropic has scaled. Spark Capital was the first firm to lead a round into the AI giant in spring 2023 — just three and a half years ago. They own more than 1% of the company, an investment that could be worth tens of billions of dollars in short order.It was just months ago that SpaceX set the record for the largest ever IPO, but that timeline was remarkably different: the first venture capitalists invested in 2002!"There's no company that's gone from zero to where they are today in this period of time," said Byron Deeter, partner at Bessemer Venture Partners. The firm has spent $800 million investing in Anthropic since 2024, the largest bet in its history, netting Bessemer an almost 1% stake.At the time Bessemer first invested, many in the industry considered the $18 billion price tag to be steep for a startup that wasn't the industry leader. Some dismissed Anthropic as a "FOMO bet," that investors were just disappointed that they missed out on OpenAI.Deeter knew that was the perception, but said he had conviction that Anthropic could take the lead or come close, believing that "even if they didn't fully get there, they were going to be a hell of a challenger."They not only challenged OpenAI, but they also beat them to the IPO. The ChatGPT-maker expects to go public next year.Although Anthropic's numbers quieted some (but not all) financial critics, other AI-related issues are still expected to be controversial at the ballot box next week. Right now, the tech industry wants more compute, and the populists are against data centers...The Buzz jirigeorge/Getty Images Ben Bergman here in New York. I'm in town for The Long Play, featuring media mogul Barry Diller, Take-Two's Strauss Zelnick, Ro's Zach Reitano, and many more. I hope to see some of you there today, or tonight at the Eniac Ventures Halloween party. Costumes are required, so I'll be curious to see what VCs are choosing this year. I'm tempted to go as filmmaker Nathan Fielder. I went on a walk this week with a VC at a large firm on a sunny fall day in the West Village. Even though they are based here, they said they spend nearly all their time in San Francisco these days because it's the epicenter of the AI boom and home to the startups they care about.Separately, I asked New York-based VC Jesse Middleton, a general partner at Flybridge, for his read on New York these days, and he texted me: "It's true that SF is where most of the models have been trained, and the dollars are certainly there for the big guys, but New York is where founders turn them into products for the rest of the world (not just developers). The app layer here is booming, including Clay, Hebbia, Rogo, and ElevenLabs. Every industry that actually has to buy this stuff sits within a few subway stops of our office."By the way, New York is still the more expensive city to rent an apartment, but San Francisco is rapidly closing the gap. Median asking rent for a one-bedroom is about $4,580 a month in New York City, versus roughly $4,400 in San Francisco, a difference of only $180, according to Zumper. Who wants to bet San Francisco will be more expensive next year?Post of the weekThe craziest reveal in You Can See Everything is actually the fact that she never sold secondary— Olivia Moore (@omooretweets) October 25, 2026 Around the Cap TableWe tallied the founders and many of the VC stakeholders in Anthropic ahead of the company's expected IPO.Spark Capital was mentioned more than 50 times in Anthropic's IPO paperwork. Here's why.A scoop from Katie: AI coding startup Cognition has received fresh offers valuing it between $70 and 80 billion.Software business Guidewire announced that it was acquiring UK-based agentic insurance startup Hyperexponential for $1.7B.Canada's fintech Wealthsimple said that it raised financing at a $13.8B CAD valuation.Ferring acquired fertility startup Gameto for $1.4B.Elizabeth Holmes' husband Billy Evans' blood-testing startup has the support of Palantir board member Lauren Friedman Stat, who co-founded it with him.Intel acquired Israeli quantum startup Classiq for $2.3B.Andreessen Horowitz expanded its crypto fund to include other emerging technologies and rebranded as a16z Frontier.The US Department of Justice is asking questions about whether Nvidia's deal to buy Hugging Face for nearly $13 billion would hurt competition in AI.Please let us know what you think of the newsletter and send along your tips. Email Ben or Katie anytime, or contact them on Signal at benbergman.11 and kroof.26.The VC Insider teamBen Bergman, chief correspondent, in Los Angeles. Katie Roof, editor at large, in San Francisco. Pranav Dixit, senior technology editor, in San Francisco. Leena Rao, executive editor, in Los Angeles.Get in touch. Email us at vcinsider@businessinsider.com Read next Business Insider tells the innovative stories you want to know Business Insider tells the innovative stories you want to know Business Insider tells the innovative stories you want to know Business Insider tells the innovative stories you want to know Katie is Editor at Large for Business Insider and also a Global Reporter for the Axel Springer Global Reporters Network, working with sister publications including Politico and The Telegraph. She has been a frequent television commentator and on-stage moderator. She is an LA Press Club award winner for her reporting on SpaceX and has broken more than 1,000 stories, which also earned her the TBPN accolade "scoop athlete of the century." I'm chief correspondent at Business Insider, where I cover the tech industry with a focus on venture capital and startups. I'm the co-author of VC Insider, a new newsletter on the deals, drama, and people moving billions in Silicon Valley.I can frequently be seen on CNN and other channels providing analysis on a range of business and economic topics. I also appear often at dozens of the biggest events around the world, including the World Economic Forum, HumanX, and Web Summit.Please get in touch if you have a story to tell. For tips (not pitches), you can message me securely on Signal @BenBergman.11Previously, I was a senior reporter at LAist/Southern California Public Radio, where I covered business and economics. I have also written for The New York Times and Columbia Journalism Review and was a reporting intern at The Times. I started my career as a producer for NPR's Morning Edition and also produced award-winning documentaries for public television.I spent the 2017-2018 academic year at Columbia Business School as a Knight-Bagehot fellow. After that, I oversaw the development of The Journal, a daily podcast produced by The Wall Street Journal and Gimlet Media.Originally from Seattle, I graduated cum laude from Occidental College in Los Angeles with a degree in politics.In my free time, I love skiing, tennis, poker, and cheering on the Seattle Seahawks. I competed in the 2024 World Series of Poker Main Event but sadly did not win. Tech