AI dot-com Unicorns Bubble

Valuations vs. Reality

Author

Latestly AI
September 09, 2025

The AI boom has minted unicorns at record speed. In just two years, more than 100 startups crossed the $1B valuation mark. But are these numbers driven by real revenue — or just investor hype?

In SaaS, healthy multiples are often 8–12x ARR. In AI? We’re seeing 20x, 40x, even 80x multiples — numbers that rival the peak of the dot-com bubble.

We analyzed the Top 20 AI unicorns between 2023 and 2025 to see how their valuations actually stack against revenue growth.

Valuation multiples show how stretched AI unicorns have become. While traditional SaaS trades around 8–12x ARR, OpenAI, Anthropic, and Mistral are priced at 40–100x. Only Scale AI sits within a healthy SaaS-like range. Data illustrative for 2025. Source: Latestly AI Research (analysis of IEA, company filings, press releases) → Licensing Available

When you look past the hype, a stark reality emerges:

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