Plus: OpenAI falls short of its $30 billion fundraising target; Spotify targets early 2027 for AI remix service
Happy Sunday, grab your coffee, because the money in AI just got very loud and a little strange.
FINANCE
馃搲 Blackstone expects Anthropic to carry junk debt after IPO
Image source: techcrunch.com
Anthropic is expected to receive a high 'junk' rating from credit rating agencies following its initial public offering. Blackstone is the anchor investor in a recent $63 billion deal to finance Anthropic's chips.
The details:
Blackstone previously said Anthropic would receive an investment-grade rating before 2027.
Blackstone now expects Anthropic to receive a double B range rating, the top tier of speculative junk grade.
TechCrunch reached out to Anthropic and Blackstone but both declined to comment.
馃挵 OpenAI falls short of its $30 billion fundraising target
Image source: the-decoder.com
OpenAI raised less than half of its $30 billion fundraising target in its latest round. OpenAI has secured about $11 billion so far, according to the Wall Street Journal.
The details:
OpenAI's valuation landed at $1.25 trillion, short of the $1.4 trillion it was aiming for.
The gap reportedly comes down to fading interest from major investors amid a tech sell-off driven by weak quarterly results from Google, Amazon, and Intel.
OpenAI now plans to raise up to $20 billion from family offices and high-net-worth individuals.
馃帶 Spotify targets early 2027 for AI remix service
Spotify is targeting an early 2027 launch for its AI-powered remix and cover service. The Financial Times reported that Spotify may unveil the AI tool around the Grammy Awards in February 2027.
The details:
Spotify is considering charging an additional $4 to $5 per month for the AI remix tool.
Spotify has announced licensing agreements with Universal Music Group, Merlin, and Believe for the AI tool.
Spotify is still negotiating with Sony Music and Warner Music Group to license the AI tool.
