OpenAI Files for IPO to Catch Up With Anthropic

The confidential nature of the filing keeps key financial disclosures, executive compensation, and risk assessments shielded from public view for now. This strategic step comes as the competition for market dominance tightens, with Anthropic currently holding a post-money valuation of $965 billion, outpacing OpenAI’s $852 billion valuation.

Internal friction persists regarding the timeline of the public debut. While CEO Sam Altman pushes for a rapid transition to the public markets, CFO Sarah Friar has expressed reservations. Concerns center on missed revenue targets, slowing user growth, and the immense pressure of compute infrastructure costs. OpenAI previously signaled plans to spend $1.4 trillion on hardware before tempering expectations in February, when it informed investors of a revised $600 billion compute budget through 2030.

The timing of the announcement places further pressure on a crowded summer market. The company’s move arrives shortly after the conclusion of the Musk v. Altman trial and precedes the anticipated June 12 IPO of SpaceX, which aims to raise $80 billion in what would be the largest public offering in history.