Anthropic Is Going Public — What Makes AI Company IPOs Different?

After SpaceX's massive $86 billion IPO made waves, ChatGPT rival Anthropic and healthcare AI startup Oura are both gearing up to go public. That's why AI company IPO headlines have been flooding your feed lately.

What exactly is an IPO?

IPO stands for Initial Public Offering. It's the moment when a company's shares — previously held by a small circle of investors — become available to the general public for the first time. Think of it as a private company making its stock market debut. For the company, it's a way to raise capital by selling shares to a large pool of buyers.

Why are AI companies valued so high even without profits?

Anthropic hasn't turned a profit yet, but it's valued at tens of billions of dollars. Traditional companies are valued on what they earn today. AI companies are valued on what the market believes they could earn in the future. Investors are betting on enormous growth potential for AI technology. This kind of forward-looking valuation is called a premium valuation — you're paying for future potential, not present earnings.

How can regular investors participate in an IPO?

In Korea, you can apply for IPO shares through public subscription (공모 청약) the day before listing, via your brokerage app. You deposit a portion of the purchase price upfront. If demand exceeds supply, shares are allocated by lottery or equal distribution. On listing day, the price may rise above the offering price — or fall below it. IPOs are not guaranteed wins.

What separates a successful IPO from a flop?

SpaceX succeeded because it has a clear technological edge and real revenue. Uber's 2019 IPO, by contrast, saw the stock drop below its offering price on day one — its path to profitability was unclear and competition was fierce. AI companies face the same test. The key question is whether the technology is actually translating into a real business — with a concrete plan to make money.

The AI IPO wave reflects how much excitement the market has for this technology. But excitement and a sound investment are two different things. Whenever a new company goes public, the most valuable habit is to ask: 'Why now?' and 'How does this company actually make money?'