TSMC approves plans to invest up to $1 billion in Anthropic and OpenAI

TSMC’s board approved plans to invest up to $500 million in Anthropic by purchasing shares at the price of its initial public offering, and up to $500 million in OpenAI preferred stock. According to g1, Anthropic set a range of $70 to $78 per share for its IPO and is seeking a valuation of up to $1.4 trillion; the company is also seeking to raise $26 billion through a private placement involving Google, Nvidia, AMD, and Microsoft.

The deal gives the chipmaker direct stakes in two AI companies that also depend on the expansion of computing infrastructure. According to Reuters, as reported by Ars Technica, TSMC approved both investments. The Wall Street Journal, also cited by Ars Technica, reported that this type of circular financing among investors, suppliers, and customers may make it harder to assess real demand for AI hardware and services.