Former Google CEO has a lot of skin in the AI game

Former Google CEO Eric Schmidt may have made one of the most lucrative investments in Silicon Valley history. His early bet on Anthropic could soon be worth $20 billion.

A 4,300-fold increase in valuation

Schmidt owns roughly 1% of Anthropic after investing in the startup in 2021, when it was valued at just $461 million.

Last week, investors suggested Anthropic could command a valuation of $1.8 trillion to $2 trillion. At the upper end, the company would be worth more than 4,300 times its Series A valuation.

Schmidt's stake alone would be worth about $20 billion, potentially lifting his personal fortune to nearly $80 billion, an increase of roughly one-third.

The staggering cost of Anthropic's growth

Anthropic's valuation has grown far faster than its ability to generate profits.

According to its draft IPO prospectus, the company reported a staggering $80.7 billion loss in the first half of 2026, although $72 billion came from a noncash accounting charge.

It also spent nearly $9 billion on computing infrastructure and has committed to spending at least $518 billion over the next decade.

Meanwhile, quarterly revenue reached $16.8 billion, up 45% from the previous quarter.

📌 Bottom line: Anthropic is expected to go public in mid-November, potentially before Thanksgiving. The debut of the first pure-play AI company will be a long-awaited test of how seriously investors take warnings of an AI bubble.