Investors demand Anthropic IPO price before committing to OpenAI as funding target slashed by $10 billion

OpenAI has reduced its fundraising target from $30 billion to $20 billion and lowered its valuation from $1.4 trillion to $1.25 trillion after investors hesitated at the original price tag. Some backers sought to see Anthropic's market valuation before investing, as the AI startup prepares to go public. The Nasdaq-100 lost approximately $2 trillion in value during October's tech selloff, reflecting broader market concerns about AI costs. With the first closing expected below $20 billion, OpenAI's new price is about 47% higher than the $852 billion valuation at which Amazon, Nvidia and SoftBank invested in March.