Anthropic is heading towards a potential record-breaking IPO, with investors reportedly expecting a valuation of more than $2 trillion as the AI startups revenue continues to surge. The Claude makers rapid growth, strong demand for AI tools and lofty revenue projections are fuelling bullish expectations despite intensifying competition, regulatory pressure and other challenges.

Half a dozen of the company’s backers said rapidly rising revenue would enable it to more than double its current valuation in a planned October float.

Investors expect Anthropic to be valued at $2trn or more in its upcoming IPO, doubling its initial aim of $1trn and dwarfing SpaceX.