OpenAI is preparing to file for an initial public offering (IPO) in the coming weeks and is targeting a public debut sometime in the fall, according to a person familiar with the plan.
The creator of ChatGPT is working with Goldman Sachs and Morgan Stanley to file a confidential IPO as soon as this Friday (22), but the exact timeline is still uncertain, said the source, who requested anonymity because the information is not yet public.
OpenAI said in a statement: “We regularly evaluate a range of strategic options. Our focus remains on execution.”
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OpenAI has been laying the groundwork to go public later this year as part of a broader effort to raise more money and finance its expensive expansion into chips, data centers and talent, according to previous reports from Bloomberg News. Rivals Anthropic PBC and SpaceX are also preparing to go public. SpaceX’s IPO documentation could become public as early as this Wednesday.
Goldman Sachs and Morgan Stanley declined to comment. THE Wall Street Journal reported earlier, this Wednesday, OpenAI’s plans to file the IPO. THE Reuters had reported in October that the IPO could value the company at up to $1 trillion.
OpenAI cleared a hurdle to its IPO plans earlier this week when a jury dismissed Elon Musk’s lawsuit against the company and co-founder Sam Altman. Musk, an early investor in OpenAI, alleged that the company, under Altman’s leadership, betrayed its mission to benefit the public by turning itself into a for-profit business. The jury ended up rejecting the case, concluding that Musk took too long to sue the company.
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Since the launch of ChatGPT, OpenAI has evolved into one of the most valuable and powerful AI companies in the world. In April, the AI model developer completed a $122 billion fundraising round from investors, reaching a valuation of $852 billion — by far the largest funding round in the company’s history.
The AI developer has committed to spending more than $1.4 trillion on physical infrastructure over the next few years to support its artificial intelligence efforts. To fund these bets, OpenAI and rival Anthropic turned to a similar group of venture capital funds and technology companies, including cloud and chip providers like Amazon.com Inc. and Nvidia Corp. This complex network of partnerships has raised concerns about the consequences if the technology does not meet the market’s high expectations.
