Enterprises Shun the Most Expensive AI: Anthropic’s Fable 5 Faces Cold Reception and Sluggish Sales as OpenAI Counterattacks

Anthropic’s most powerful model has hit a wall in the market, exposing deep cracks in the business models underpinning the frontier AI race.

According to payment company Ramp, which tracks consumer data from 70,000 businesses, more than two months after the release of Fable 5, its share of total spending on Anthropic’s products has stabilized at only about 11%, far below the buying frenzy typically triggered by previous high-end model launches. Meanwhile, competitor OpenAI is accelerating its counteroffensive—according to insiders, with the July launch of GPT 5.6, OpenAI’s annualized revenue for the quarter jumped 35% from the previous quarter, surpassing $40 billion.

Anthropic is also maintaining rapid growth, with annualized revenue reaching $65 billion in July, a significant climb from $47 billion in May. The company also recorded its first adjusted operating profit in the second quarter of this year. However, this pace remains below the $80 billion threshold some investors had previously expected, casting uncertainty over the company’s highly anticipated IPO prospects.

High Prices Become a Bottleneck as Enterprises Shift to Affordable Alternatives

The high price of Fable 5 is the core reason for its cold reception in the market. Enterprises are broadly shifting to more cost-effective options—whether it is Anthropic’s own smaller but powerful Opus 5, or open-source, low-cost models from China and other markets.

According to Ramp data, corporate spending on Opus 5 has surpassed that on Fable 5 since its late-July launch, making it the de facto workhorse of Anthropic’s product line. OpenAI’s GPT 5.6 is also priced significantly lower than Fable 5, further squeezing the latter’s market space.

Miles Clements, a partner at Accel and an investor who has put nearly $1 billion into Anthropic, stated, "Most people do not need to run on the cutting edge." He pointed out that the phase where customers tend to choose only the top-tier models is "not a sustainable era."

Ramp Chief Economist Ara Kharazian also noted that regulatory requirements regarding data retention have similarly hindered the adoption of Fable 5.

Policy Interference Becomes a Secondary Factor as Price and Performance Drive Choices

The launch process for Fable 5 was not smooth. After its release in early June, the Trump government forced Anthropic to suspend the model’s promotion citing national security concerns, and it was not allowed to relaunch until July 1. As a result, Anthropic’s revenue growth in June was significantly dampened.

However, analysts and investors indicate that the impact of political uncertainty on customers’ model choices has diminished to a secondary position, with price and performance now being the core driving factors.

Kharazian admitted that predicting Anthropic’s future trajectory is extremely difficult. "If we extrapolate based on past trends, we would expect Anthropic to dominate the market. But because OpenAI’s latest model performed well while Fable fell short of expectations, the opposite has occurred."

IPO Prospects Under Pressure as Growth Narrative Faces Test

The sluggish sales of Fable 5 add variables to Anthropic’s ongoing IPO preparations. According to investor expectations, the listing could be valued at $2 trillion or higher, potentially launching as early as next month, and is poised to become one of the largest IPOs in history.

In terms of fundamentals, Anthropic maintains strong momentum—revenue has increased nearly sevenfold year-to-date, with 6,000 corporate customers now spending over $100,000 annually. Profitability is also expected to continue in the third quarter.

But Fable 5’s failure to replicate the "instant hit" market rhythm of its predecessors has broken the external presumption that frontier models inevitably lead consumption. If enterprise customers continue to prioritize cost-performance over computational limits, the business model relied upon by top AI labs to drive revenue through premium models will face a systemic revaluation.