Ahead of IPO: OpenAI expected to double annual revenue to over $40 billion
OpenAI is projected to reach an annual revenue run rate of over $40 billion, nearly doubling its performance from late 2025. This growth comes as the company prepares for its upcoming IPO.
The artificial intelligence company OpenAI is expected to show an annual revenue run rate of more than $40 billion, based on its current performance, according to a Bloomberg report citing people familiar with the matter. In doing so, it will nearly double its revenue run rate as of the end of 2025, as the company prepares for an IPO.
The revenue run rate of the company, the developer of ChatGPT, has accelerated in recent months, partly thanks to growth in its AI-based programming product, according to the sources who requested anonymity. The increase in the revenue run rate also reflects the strengthening in the number of subscribers and the advertising business. The company's core business also continues to grow. The company also recently lowered prices on a series of models. OpenAI declined to comment on the report.
The company is in a close battle with rival Anthropic for business customers. Both companies have already filed confidential prospectuses ahead of an IPO, with the assessment being that Anthropic will precede OpenAI and go public as early as this coming autumn.
On Thursday, the company's president Greg Brockman revealed that the annual revenue run rate rose by more than 20% in July compared to the previous month. Sarah Friar, the company's CFO, had previously noted that at the end of last year, the company's annual revenue stood at more than $20 billion.
