OpenAI files confidential IPO as race with Anthropic heats up
OpenAI joins Anthropic and SpaceX in what could be trillion-dollar IPOs this year.
OpenAI has confidentially filed for IPO paperwork, following similar moves by Anthropic (filed June 1, valuation $965B) and SpaceX. The company raised $122B privately in March, but its revenue over the past year was $10–20B, outweighed by heavy losses on cloud computing and staffing. IPO timing remains undecided; OpenAI may wait to see how Anthropic’s debut performs. A liquidity event could boost employee morale and customer confidence amid restructurings tied to executive illnesses and project focus. Legal challenges include a dismissed Musk lawsuit and ongoing scrutiny by California and Delaware regulators over OpenAI’s nonprofit structure.
- OpenAI confidentially filed IPO paperwork, joining Anthropic (filed June 1, valuation $965B) and SpaceX in a race for trillion-dollar public listings.
- OpenAI's revenue is $10-20B but it operates at a loss; it privately raised $122B in March 2025.
- The company's nonprofit structure owns 25% of the for-profit, complicating the IPO process; legal challenges remain despite a recent victory.
Why It Matters
The IPO signals AI's maturation into a major asset class, but massive losses and governance issues raise questions about long-term profitability.