Anthropic PBC is ironing out the final details on a funding round likely to raise more than $20 billion and slated to close as soon as next week, according to people familiar with the matter.

The OpenAI rival was initially seeking $10 billion but is now on track to raise more than double that amount at a $350 billion valuation, thanks in part to excess investor interest, said the people, who asked not to be identified because the details are private.

Anthropic has lined up checks north of $1 billion each from Coatue Management, Singapore’s GIC and Iconiq Capital in its latest financing, in addition to as much as $15 billion from strategic investors Nvidia Corp. and Microsoft Corp., Bloomberg News previously reported.
The latest funding round would nearly double Anthropic’s prior valuation and comes just five months after the company raised $13 billion — a sign of an investor frenzy buoyed by the artificial intelligence startup’s soaring revenue run rate, which crossed $9 billion last summer.

The deal has not yet officially closed and timing or specific terms could still change. Altimeter Capital Management and Sequoia Capital, both OpenAI backers, are expected to invest in the round, according to people familiar with the talks. Lightspeed Venture Partners and Menlo Ventures are also participating.

Anthropic declined to comment on the deal.

Anthropic has come off a banner week, releasing a new AI model optimized for automating enterprise work tasks that sparked a multibillion-dollar selloff across the software and financial services sectors. In the past year, Anthropic’s coding agents that can write software with minimal human input have become a go-to tool for companies and developers.

Anthropic’s coding capabilities are seen as potentially ushering in a new area of autonomous AI technology used on the job, and investors are betting that the company’s tools will have a similar impact across other sectors of the economy.

Anthropic’s latest funding round, and a planned employee tender offer, is being worked out at the same time that its competitor OpenAI is in talks to raise as much as $100 billion in another record-breaking AI funding round. Both companies have also taken steps toward an IPO this year.

As AI valuations soar, companies have also faced concerns about large expenditures on data centers, chips and the talent needed to fund the development of the technology, as well as the circular nature of some of the funding from suppliers such as Nvidia.