OpenAI Files Confidentially for IPO, Could Target $1 Trillion Valuation

OpenAI has confidentially filed for a U.S. initial public offering, putting the ChatGPT maker on a possible path to one of the largest tech listings in history.

The company confirmed the filing on Monday in a statement announcing it had submitted a confidential S-1 registration statement. According to Reuters, OpenAI did not reveal the size, terms, or exact timing of the planned IPO.

The move comes shortly after rival Anthropic also filed confidentially for a U.S. IPO, setting up a major test of investor demand for artificial intelligence companies.

OpenAI IPO could target $1 trillion valuation

Reuters previously reported that OpenAI could seek a valuation of up to $1 trillion in its stock market debut. The IPO could reportedly happen as early as September, although OpenAI has suggested that a listing may still be some time away.

The company said some work remains easier to complete while it stays private, which suggests OpenAI wants flexibility before entering public markets.

If OpenAI reaches a $1 trillion valuation, it would become one of the most valuable companies ever to go public. It would also mark a major moment for the AI industry, which has become one of the biggest investment themes of the decade.

Anthropic is also moving toward a public listing

OpenAI’s filing follows Anthropic’s confidential U.S. IPO filing on June 1. Anthropic recently raised $65 billion in funding at a $965 billion valuation, putting it close to the trillion-dollar mark as well. The two filings show how quickly leading AI companies are moving from private funding rounds toward public markets.

Cerity Partners’ Michael Ashley Schulman said OpenAI appears to be keeping its options open after Anthropic moved ahead with its own filing.

ChatGPT growth could drive investor interest

OpenAI has reported rapid growth across revenue and users. Earlier this year, the company said it was raising $110 billion at an $840 billion valuation. It also disclosed that ChatGPT had more than 900 million weekly active users and more than 50 million consumer subscribers.

In March, OpenAI said it was generating $2 billion in monthly revenue. At the end of 2024, the company was generating about $1 billion in quarterly revenue.

OpenAI has also claimed that it is growing roughly four times faster than major internet and mobile-era companies such as Alphabet and Meta.

Microsoft deal gives OpenAI more flexibility

The IPO filing follows OpenAI’s renegotiated partnership with Microsoft. The revised deal gave OpenAI more room to form partnerships with other major cloud and technology companies, including Amazon and Google. As previously reported, the updated deal ended Microsoft exclusivity and expanded OpenAI beyond Azure. That could help the company expand infrastructure capacity as demand for AI tools continues to rise.

However, OpenAI still faces major financial questions. The company reportedly told investors in its latest funding round that it does not expect to become profitable until 2030.

Legal pressure from Elon Musk has eased

OpenAI’s IPO plans also follow a legal victory in its dispute with Elon Musk.

Musk sued OpenAI and accused the company of abandoning its original nonprofit mission. In May, a U.S. jury ruled against Musk and found OpenAI not liable. Analysts said the earlier verdict removed a major legal hurdle before a possible IPO.

For now, OpenAI has taken the first formal step toward Wall Street, but the company still has not committed to a final timeline. If the IPO moves forward this year, it could become a defining moment for both the AI sector and the broader tech market.