Anthropic valuation surge lifts Alphabet, Amazon Q3 profits
- ByStartupStory | November 2, 2025
Alphabet and Amazon See Billions in Q3 Profit Boost from Anthropic Valuation Surge
Alphabet Inc. and Amazon.com Inc. reported better-than-expected third-quarter profits, largely due to the increased valuation of their stakes in Anthropic PBC, the AI startup behind the popular Claude chatbot. Anthropic’s valuation nearly tripled to $183 billion following a $13 billion funding round in September 2025, significantly boosting paper gains reported by both companies.
Alphabet disclosed that its Q3 profit included net gains on equity securities of $10.7 billion, much of which came from Anthropic. Alphabet’s total investment in Anthropic has reached approximately $3 billion, including $2 billion in 2023 and an additional $1 billion earlier in 2025. In parallel, Amazon’s third-quarter profit surged 38%, with a pretax gain of $9.5 billion from its investment in Anthropic, reflected in its non-operating income.
This development illustrates the increasing financial impact of private generative AI investments on the balance sheets of major public companies. Once considered high-risk strategic plays, stakes in AI startups like Anthropic are now contributing sizable unrealized profits to industry giants, even as these startups continue to build commercial market traction.
Both Alphabet and Amazon have deepened their operational ties with Anthropic. Google Cloud recently agreed to supply Anthropic with one million specialized AI chips starting in 2026, providing substantial computing power to support Anthropic’s AI workloads. Amazon has supported Anthropic with an $8 billion investment and extensive data center infrastructure under its Project Rainier.
While Alphabet and Amazon celebrated valuation-driven earnings gains, Microsoft reported a contrasting scenario: its net income was reduced by $3.1 billion due to losses from its investment in OpenAI, underscoring the volatile and high-stakes nature of AI investments.
In summary, Anthropic’s valuation surge has materially boosted Alphabet’s and Amazon’s Q3 profits, spotlighting the transformative financial influence of generative AI startups on major technology companies. This milestone marks a shift as AI investments transition from future strategic bets to significant components of corporate earnings.
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