Sharp Tech with Ben Thompson · Friday, October 30, 2026
Ben Thompson and Andrew Sharp analyze Anthropic's S1 filing, noting that while the core subscription and API business is extremely strong and profitable, R&D and training costs are exploding and remain out of the company's control due to intense frontier competition.
“the core business looks amazing. The subscription for sure is profitable. It's less profitable than the API, but... The subscription is a great product.”
“The largest portion of their cost is this training cost. And the speed with which they need to spend money on that, is out of their control. Right. It is a matter of competition.”