"OpenAI Considering Postponing IPO to 2027"
The New York Times (NYT) reported on June 25 (local time), citing three sources, that OpenAI is considering postponing its initial public offering (IPO), which was originally planned for the second half of this year, to next year.
According to the NYT, OpenAI had initially aimed to go public in the third or fourth quarter of this year and hired an advisory team for this purpose. Sam Altman, OpenAI's CEO, reportedly instructed the advisory team to find ways to raise the company's valuation to 1 trillion dollars. OpenAI's last private valuation was 730 billion dollars, making 1 trillion dollars an aggressive target. On June 8, OpenAI confidentially filed for an IPO.
The advisory team is said to have recently warned that individual investors may not show strong interest in OpenAI shares. They suggested that the company’s management should choose between delaying the listing until 2027 in pursuit of the 1 trillion dollar valuation or lowering the target valuation to proceed with an IPO more quickly. According to a person involved in these discussions, CEO Altman responded that changing the target valuation is not under consideration at all. On June 10, The Information reported that CEO Altman told employees in a message that he expects the company to go public "within the next year."
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The advisory team's warning is analyzed to reflect concerns over weak share performance following SpaceX's recent listing and increased volatility in global stock markets. SpaceX, which was listed on the Nasdaq market on June 12 at 135 dollars per share, saw its price climb to 202 dollars during last week’s trading session before declining to 153 dollars.
There are also profitability challenges that make rushing the IPO difficult. According to an OpenAI official, last year’s revenue was about 13 billion dollars, and the company aims to roughly triple that this year. However, monthly revenue this year remains around 2 billion dollars. At the same time, OpenAI is investing massive amounts of capital to secure data centers and computing power.
The NYT assessed that this situation illustrates the uncertain future of rapidly growing AI giants.
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