Anthropic Price Cuts Put $100 Billion Year-End ARR Back in View

Anthropic’s October cuts to Haiku 5.5 token prices could help the AI company top $100 billion in annual recurring revenue by year-end, Atreides Management Chief Investment Officer Gavin Baker said Oct. 26.

Haiku 5.5, part of the Claude 5.5 series, costs $0.10 per million input tokens and $0.50 per million output tokens. Anthropic cut the model’s prices by about 90% from the previous generation.

Baker said lower token prices are increasing usage, while rising usage is pushing GPU rental rates higher. He argued those trends make year-end ARR above $100 billion possible again.

ARR is recurring revenue projected over a year. Baker’s figure is a projection for Anthropic’s year-end run rate. Anthropic has also publicly filed an IPO prospectus.