IPO delay? OpenAI considering pushing back listing to 2027 amid volatility in tech stocks, says report
ChatGPT maker and artificial intelligence (AI) space leader OpenAI is considering delaying its much-hyped initial public offering (IPO) until next year, according to a New York Times report citing sources.
According to the NYT report, an OpenAI spokesperson declined to answer questions.
OpenAI may delay its listing to 2027 due to concerns about volatility in tech stocks; Concerns arose following the performance of SpaceX shares led by Elon Musk. The stock immediately rose after the world’s richest man was elevated to trillionaire status, before the stock fell, according to reports.
OpenAI CEO Sam Altman reportedly pushed bankers and lawyers to aim for a $1 trillion valuation, the report said. He stated that there are now concerns that retail investor sentiment has decreased. The Wall Street Journal reported that OpenAI is trying to catch up with its younger rival in the race to win corporate customers who pay huge amounts of money for AI tools that can improve workplace efficiency.
Bloomberg reported that the AI chatbot maker is in talks with Morgan Stanley and Goldman Sachs for a potential listing in the fall of this year. The WSJ report stated that the artificial intelligence company said in a confidential filing that “the things we want to do as a private company are probably easier” but declined to provide further details.
OpenAI to list Anthropic: What do we know?
According to a Bloomberg report, the company filed a confidential IPO application with the United States Securities and Exchange Commission (US SEC), according to a statement made on June 9. Prior to this, rival artificial intelligence company Anthropic announced that it had filed a confidential S-1 filing on June 1.
Back-to-back filings from two of the world’s largest artificial intelligence labs have sparked speculation about which rival will reach the public market first, although each insists the other’s timing has no bearing on its own plans. Following their latest funding rounds, OpenAI is valued at $852 billion and Anthropic is valued at $965 billion, making them among the most valuable private companies in the world.
Sarah Friar, OpenAI’s chief financial officer, told CNBC in April that it’s “good hygiene” for a company this size to “look, feel and act” like a publicly traded company. He did not specify the date of listing.
PerplexityAI CEO Aravind Srinivas also told CNBC on June 9 that the AI player aims to complete its IPO in 2028, regardless of how rivals Anthropic and OpenAI fare in their listings. “I think it’s important for the AI industry that these IPOs do well, and I actually think they will do well, because they are doing well,” Srinivas said, but added that the AI company is “planning something for 2028” and that he is “agnostic” to how Anthropic or OpenAI listings perform.
Perplexity’s Chief Operating Officer Dmitry Shevelenko also told Reuters: “Perplexity has managed to build a healthy, high-growth business by consistently holding 2028 as our earliest date for an IPO.”
(With input from Bloomberg and Agencies)
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