Agreed.
The chip doesn't worry me. I've worked on worse.
It's the heavy pitting and the saddle back on the work surface that I see.
The work involved in getting that anvil back to a workable tool would be significant.
It can be salvaged, but the time and effort may not be worth it unless you do it as a labor of love.
If you want a piece of yard art, it's fine.
If you want a working anvil, then keep looking.