Anthropic’s Premium Pricing Is at Risk, JPMorgan Analysts Say

Anthropic PBC’s premium prices for its AI tools may not be sustainable in the long run because of increasing competition, according to a report by JPMorgan Chase & Co. that initiated analyst coverage of the company.

Its application programming interface, which is used by developers and businesses, costs about eight times more than similar products from Alphabet Inc.’s Google and OpenAI, according to Thursday’s note titled “Buckle Up for a Safety-First Race to the Top.”

“As enterprises and developers remain cost cautious, we question whether Anthropic’s current API pricing strategy will be sustainable and its model capabilities sufficiently differentiated ...