OpenAI Plans For IPO

Published: Thursday, October 30, 2025 at 3:08 pm

OpenAI Eyes Trillion-Dollar Valuation with Planned IPO

Artificial intelligence giant OpenAI is reportedly planning an initial public offering (IPO) as early as late 2026, a move that could double its valuation to a staggering $1 trillion. This ambitious plan aims to secure significant capital to fund the company's massive infrastructure buildout, crucial for its AI development. Despite projections of $20 billion in annual revenue by the end of the year, OpenAI is also facing mounting losses due to the high costs associated with GPUs, data centers, and attracting top AI talent.

The company recently restructured its operations, with its nonprofit arm, now called the OpenAI Foundation, holding a 26% stake in the for-profit entity, OpenAI Group PBC. Microsoft, a major backer, holds the largest stake at 27%. This restructuring unlocks $30 billion in additional funding from Softbank. OpenAI also plans to build an AI research intern by September 2026.

In other AI-related news, several startups have secured substantial funding rounds. Legal AI startup Harvey closed a $150 million round at an $8 billion valuation. Synthesia, focused on AI-generated videos, raised $200 million at a $4 billion valuation. Genspark is in talks to raise over $200 million, doubling its valuation to over $1 billion. Fireworks AI secured $250 million in Series C funding at a $4 billion valuation, and Mercor, a startup recruiting humans to train AI models, raised $350 million at a $10 billion valuation.

ConductorOne, a startup focused on managing access for both human employees and AI agents, closed a $79 million Series B round, valuing the company at $350 million. The company's software aims to streamline access management and mitigate security risks associated with the increasing number of AI identities.

BNN's Perspective:

The rapid growth and investment in the AI sector are undeniable. While the potential for innovation and economic growth is significant, the speed of development also presents challenges. The need for robust regulatory frameworks, ethical considerations, and cybersecurity measures is paramount to ensure responsible and sustainable AI development.

Keywords: OpenAI, IPO, AI, Artificial Intelligence, Funding, Microsoft, Valuation, Startup, Investment, ConductorOne, Cybersecurity, Revenue, Grokipedia, Elon Musk

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