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Sources: Anthropic potential $900B+ valuation round could happen within 2 weeks

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Anthropic is asking investors to submit allocations for the AI company’s latest fundraise within the next 48 hours, according to sources familiar with the matter. The round, which TechCrunch reported is expected to be roughly $50 billion, is estimated to close within two weeks, the sources said.

As we previously reported, Anthropic is targeting a valuation of about $900 billion. However, given the soaring demand from investors seeking a stake in the company, the final valuation may well exceed that figure, our sources said.

Anthropic declined to comment.

Despite the intense demand, some early backers — particularly those who invested in 2024 or earlier — are skipping this round. Instead, these investors are waiting to potentially cash out during Anthropic’s anticipated IPO later this year.

The company is raising what is likely to be its last private round before going public to fund its massive computing needs.

Anthropic announced this month that its annual revenue run rate has surpassed $30 billion. But as we previously reported, the company’s run rate is currently closer to $40 billion, according to sources with knowledge of the company’s financials.

Anthropic raised its last round in February at a $380 billion valuation. At $900 billion, the company would not only more than double its valuation but would also surpass its chief rival, OpenAI, which closed a record-breaking $122 billion round at an $852 billion post-money valuation earlier this year.

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Jagmeet Singh contributed reporting.

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Anthropic releases Sonnet 5.5, which it calls a significantly cheaper, faster work partner

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As the AI model wars continue, Anthropic has released the newest version of Sonnet, the company’s mid-tier model, which it says will work much faster (and for significantly less) than its predecessor.

The lab describes Sonnet 5.5 as an ideal assistant for everyday tasks — including coding and creating office documents.

5.5’s predecessor, Sonnet 5, was announced about three months ago. At the time, the model’s selling point was efficient agentic deployment — the ability to run agents at a lower cost than competitors.

The big selling point with 5.5, meanwhile, is speed. Anthropic claims that Sonnet 5.5 is 30 percent faster than its predecessor, and that its rate of token burn is significantly slower.

In the Anthropic hierarchy of models, Sonnet is less powerful than the Opus model, but can be more useful in certain circumstances because its agility. In particular, Anthropic’s benchmarks show Sonnet 5.5 performing better than Opus 5.5 on agentic coding, likely because of its ability to spawn multiple agents without exceeding cost limits.

Sonnet 5.5 is also said to have significant cyber capabilities, with the company claiming that it has “comparable” cyber capabilities to Opus 5. As a result, Anthropic says that 5.5 is the first Sonnet model that will be subject the same cyber safeguards that apply to Fable and Opus.

The company also plans to release a new version of Haiku — its smallest model — in the coming weeks, although it didn’t give a firm date as to when that would happen.

The last year has seen a flurry of new model releases from the major AI labs. Just last week, OpenAI released a number of new models — including enhanced versions of Sol and Luna, its mid-tier and budget-friendly models. Meta also announced a new model, which it said would power an upcoming feature associated with its smart glasses.

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Google is killing off Gemini’s Gems in favor of ‘skills’

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As all-in-one AI agents like Meta’s Muse and Instinct take off, Google announced it’s shutting down the Gemini feature known as “Gems,” which had allowed users to build custom AI assistants for specific tasks. However, the work users invested in creating the Gems won’t be destroyed. Gems will be automatically migrated to “skills” that can be used across different AI tasks.

Details about the change are being shared in the Gemini app, where a message warns users that Gems will become skills starting on November 17, 2026. The company said it will migrate the Gems to the new format, so users won’t have to do anything to make the transition. The Gems themselves will remain usable until then.

Launched in 2024, Gems were meant to help users teach their AI to perform certain tasks without having to repeat the instructions. For instance, some of Google’s pre-made Gems had included a learning coach, a brainstorming assistant, a career guide, a coding partner, and an editor. Users could also make Gems for their own needs, like a running coach, nutritionist, or vacation planner. These custom assistants could also be shared with others, which Google had hoped would help make its Gemini AI app more popular.

Image Credits:Google

The news of Gems’ shutdown is another example of why Google shouldn’t be so quick to give every new AI feature its own brand name, icon, and prominent placement in its app’s navigation — especially if it’s going to shuffle things around over time, merging one feature into another. (To be clear, this has been a failing point of Google’s strategy long before the AI era. At one point, for instance, the company was operating multiple different messaging and communication apps at the same time.)

Yet, even as skills, the former Gems still aren’t as consumer-friendly as just typing in text to a chatbot like Meta’s Muse. Instead, Google notes you’ll have to enter a forward slash “/” in a task thread to select the skill you want to use — a user interface that engineers, not regular folks, tend to prefer.

Gems’ wind-down was first reported over the weekend by 9to5Google.

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OpenAI still doesn’t seem to have a handle on all of its rogue AI activity

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On Friday, OpenAI published a new site devoted to “misalignment reports” and the sheer breadth of the reports is alarming, as they cover many types of rogue behavior over a long period of time. So far, the site hosts nine reported incidents, most of which took place during reinforcement-learning (or RL) training.

It’s a lot of information in one place — clearly, the company has been very busy getting a handle on everything — but the overall takeaway is hard to avoid: The rogue agent incidents we’ve seen so far are likely just a small sliver of what’s happened so far. 

“We are trying to balance our desire for transparency with gaining a clear understanding from petabytes of agent activity logs, and working with impacted organizations,” Sam Altman said in a post announcing the new site. “We are prioritizing as best as we can based on severity, and adding resources.”

Some of the cases involve serious incidents, including a previously undisclosed sandbox escape that took place on September 20th, in which an internal research model was able to communicate with an external chatbot through a DNS query. According to the report, the monitoring system flagged the behavior within 15 minutes and the run was discontinued in less than three hours.

Another incident, discovered in May, saw a “highly persistent internal model” try to cheat on a math problem by accessing another team’s work. To accomplish this, the model smuggled a private GitHub token that would allow it to see work from other teams — even after being explicitly instructed twice to perform work entirely locally. 

Perhaps the most alarming discovery is the possibility of self-replicating prompt injection attacks, a way that misaligned behavior might propagate even after the rogue model itself has been neutralized. In the AI context, a prompt injection attack is a way of smuggling in new instructions that weren’t given by the original user.

In the example given by OpenAI, an agent asked to read and reply to an email; when the email is opened, it includes instructions for any automated agent reading the message to reply in Spanish, and paste the entire email into its reply. The email was able to successfully induce the agent to reply in Spanish — and by pasting the email in the reply, those same instructions were passed along to whichever agent receives the email.

The result is a self-propagating attack, which OpenAI researchers compared to a malware “worm” that replicates itself across computer systems. Researchers discovered the behavior under controlled circumstances using an underpowered model, and as far as we know, this has never happened in the wild. Still, the implications are alarming enough that OpenAI decided it merited disclosure. 

“We are sharing this due to the novel nature of the prompt injection, not because of any incident,” researchers wrote in the report.

Other recent discloses have found models posting user-submitted pictures to third-party hosting sites, as well as an apparent attack on the databases of Australia’s national health service.

Still, it’s likely the new disclosures are just a small portion of the incidents that have taken place so far (we’ve reached out to OpenAI and asked). Axios is reporting major labs have seen as many as 10,000 incidents in which models went beyond evaluator instructions.

OpenAI CEO Sam Altman has implied as much, saying in a post on X on Friday that the company is still sifting through “petabytes of agent activity logs, and working with impacted organizations,” and disclosing incidents “based on severity.” If there’s any consolation in that to be found, it is that Altman says that the Hugging Face incident is still the most severe one OpenAI has found has found. The upshot is, the recent string of rogue agent incidents may be a persistent feature of contemporary frontier research.

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