Anthropic is in talks to raise up to $2 billion at a $60 billion valuation, led by Lightspeed Ventures, amidst scrutiny of tech regulation and ownership issues surrounding OpenAI. In a separate matter, U.S. Steel’s CEO accused President Biden of influencing the review process for a proposed acquisition by Nippon Steel, leading to tensions within the steel industry and a decline in U.S. Steel’s stock.
Anthropic, the company behind the AI chatbot Claude, is reportedly in discussions to raise up to $2 billion at a valuation of $60 billion. The funding round is being led by Lightspeed Ventures. This move comes amid ongoing scrutiny and speculation regarding the ownership of OpenAI, particularly in relation to Microsoft’s involvement. There are concerns about potential regulatory actions, as indicated by Lina Khan, who hinted at possible investigations or lawsuits regarding the tech landscape.
The conversation also touched on the broader implications of tech regulation, noting that the current political climate does not fit neatly into traditional Republican or Democrat frameworks. The discussion highlighted how both the Trump and Biden administrations have taken stances on tech issues, such as the ongoing scrutiny of TikTok, suggesting a complex and evolving regulatory environment.
In a separate segment, U.S. Steel’s CEO, David Burritt, accused President Biden of compromising the review process for Nippon Steel’s proposed acquisition of U.S. Steel. Burritt claimed that Biden’s outspoken opposition to the deal influenced the Committee on Foreign Investment in the United States (CFIUS) to vote against it before any formal review took place. He called for President-elect Trump to reconsider the deal, despite acknowledging Trump’s previous opposition to it.
The situation escalated as Burritt’s comments drew criticism from the CEO of Cleveland-Cliffs, a rival bidder for U.S. Steel. The Cleveland-Cliffs CEO expressed offense at Burritt’s accusations of corruption against the President, labeling them as absurd. This exchange highlights the competitive tensions within the steel industry and the stakes involved in the acquisition discussions.
As the situation unfolds, U.S. Steel’s stock has seen a decline of about 15% since the announcement of the acquisition deal in December 2023. The future remains uncertain regarding the potential for a review by CFIUS, whether the incoming administration will alter its stance, and if Cleveland-Cliffs will make another bid for U.S. Steel. The interplay of regulatory scrutiny and corporate competition continues to shape the narrative in the tech and steel sectors.