TLDR
- OpenAI is working toward an IPO that could value the AI company at up to $1 trillion, with potential filing in late 2026
- The artificial intelligence firm aims to raise at least $60 billion in what would be one of history’s largest public offerings
- A recent restructuring changed OpenAI from a nonprofit to a public benefit corporation, with the foundation keeping 26% ownership
- The company projects $20 billion in annual revenue by year-end but currently spends more than it earns
- Microsoft holds 27% of OpenAI after $13 billion in investments, alongside other backers like SoftBank and Thrive Capital
OpenAI is taking steps toward a public stock offering that could value the company at $1 trillion. Three people with knowledge of the plans told Reuters the artificial intelligence firm may file for an IPO in the second half of 2026.
The maker of ChatGPT wants to raise a minimum of $60 billion. That figure could grow depending on how the business performs and what market conditions look like when the company goes public.
Sarah Friar, OpenAI’s chief financial officer, has indicated to associates the company is working toward a 2027 listing. However, some advisers think it could happen earlier, around late 2026. An OpenAI representative said no IPO date has been determined and it remains a future consideration rather than an immediate priority.
Sam Altman, the company’s CEO, spoke about going public during a Tuesday livestream event. “I think it’s fair to say it is the most likely path for us, given the capital needs that we’ll have,” he stated.
Nonprofit Origins Give Way to New Structure
OpenAI launched as a nonprofit organization in 2015. The company later added a for-profit division that remained under nonprofit oversight. This week, OpenAI finished a restructuring that fundamentally changed its corporate setup.
The company now operates as a public benefit corporation. This for-profit structure requires the business to pursue social good alongside financial returns. The OpenAI Foundation, the nonprofit arm, retained a 26% ownership stake in OpenAI Group.
The foundation also received warrants that could provide additional shares if certain goals are met. Board chair Bret Taylor said the changes simplify operations while maintaining nonprofit oversight. The restructuring decreases OpenAI’s dependence on Microsoft, which currently owns about 27% of the company following $13 billion in investments.
Revenue Growth Meets Rising Costs
OpenAI anticipates reaching $20 billion in annualized revenue before the end of this year. The company holds a private market valuation of $500 billion. Despite revenue growth, OpenAI is losing money. People familiar with the finances say the company spends more on marketing and employee stock compensation than it brings in.
An IPO would give OpenAI better access to capital markets. The company could also use publicly traded stock to fund acquisitions. These capabilities matter because OpenAI needs massive amounts of money for AI infrastructure development.
Strong AI Sector Performance
Other AI companies have performed well in public markets recently. CoreWeave, which provides cloud services for AI, went public this year at a $23 billion valuation. The stock has roughly tripled since the IPO. Nvidia hit a $5 trillion market value on Wednesday, powered by demand for its AI processors.
OpenAI’s investor group includes SoftBank, Thrive Capital, and Abu Dhabi’s MGX alongside Microsoft. These stakeholders would see returns if the IPO succeeds. The company keeps pouring resources into computing power, a push expected to require tens of billions more in funding.
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