Anthropic: "$2.66 billion on compute on an estimated $2.55 billion in revenue"
Cursor: "bills more than doubled from $6.2 million in May 2025 to $12.6 million in June 2025"
Clickthrough if you want the analysis and caveats
Anthropic: "$2.66 billion on compute on an estimated $2.55 billion in revenue"
Cursor: "bills more than doubled from $6.2 million in May 2025 to $12.6 million in June 2025"
Clickthrough if you want the analysis and caveats
ARR could be a useful tool to help predict future revenue, but why not simply report on actual revenue and suggest it might increase in the next year? I have found the most articles to be unclear to the reader about what ARR actually represents.
The point of ARR is to give an up to date measure on a rapidly changing number. If you only report projected calendar year revenue, then on January 1 you switch from reporting 2025 annual revenue to 2026 projected revenue, a huge and confusing jump. Why not just report ARR every month? It's basically just a way of reporting monthly revenue — take the number you get and divide it by 12.
I am really skeptical that people are being bamboozled by this in some significant way. Zitron does far more confusing things with numbers in the name of critique.