OpenAI, the company behind ChatGPT, has confidentially filed for an initial public offering (IPO), marking another major step in the rapidly escalating competition among leading artificial intelligence firms. The announcement comes just over a week after rival AI company Anthropic also filed to go public, setting the stage for one of the most closely watched battles in the technology sector.
The company, which was most recently valued at approximately $852 billion following its latest funding round, submitted a draft registration statement to the U.S. Securities and Exchange Commission (SEC). OpenAI has not disclosed how many shares it plans to offer or its target valuation for the IPO.
In a statement, OpenAI said it has not finalized the timing of any public offering and may remain private for some time.
“We have not decided on timing yet; it may be a while because there are things we want to do that are likely easier as a private company,” the company said. “But it’s a complicated set of tradeoffs and this gives us the option to go public sooner if that ends up being best.”
At the same time, OpenAI published a separate blog post outlining its long-term vision for artificial general intelligence (AGI) and its commitment to ensuring AI benefits humanity. The move attracted attention because companies preparing for public offerings have traditionally been cautious about publishing broad forward-looking statements during sensitive pre-IPO periods.
Regardless of the timing, the filing further strengthens expectations that 2026 could become one of the biggest years for technology IPOs in decades. Alongside OpenAI and Anthropic, SpaceX is also preparing for a public offering reportedly targeting a valuation of around $1.75 trillion.
OpenAI’s IPO preparations come despite reports that the company has recently fallen short of some internal targets related to revenue growth and user acquisition. According to reports, company executives have also expressed concerns about the enormous cost of building and operating the computing infrastructure required to support advanced AI models.
The company raised a record-breaking $122 billion funding round in March, the largest fundraising event in Silicon Valley history. However, reports indicate that OpenAI expects to spend a comparable amount on AI computing infrastructure by 2028, while potentially burning tens of billions of dollars annually even as revenue continues to grow.
The challenge reflects a broader issue facing the AI industry. While demand for advanced AI models continues to surge, the cost of training and operating these systems remains extraordinarily high.
In contrast, Anthropic has recently presented investors with a more optimistic financial outlook, claiming it is approaching profitability. However, the company has also raised tens of billions of dollars in funding and continues to invest heavily in AI infrastructure and computing resources.
A confidential IPO filing allows OpenAI to begin preparing for a public offering without immediately disclosing detailed financial information, business risks, or offering terms. The company will eventually be required to submit a public S-1 filing containing comprehensive financial disclosures and governance details if it proceeds with the offering.
Secondary market activity suggests investor demand for leading AI companies remains strong. According to reports, Anthropic recently surpassed a $1 trillion valuation on secondary trading platforms, while OpenAI has continued to trade near its previous valuation levels.
Industry observers note that the timing of these IPOs could prove important. Analysts have suggested that whichever company reaches the public markets first may capture a larger share of available investor capital, particularly as SpaceX is also expected to attract significant attention from institutional investors.
Founded in 2015 as a nonprofit AI research organization, OpenAI transformed the technology landscape with the launch of ChatGPT in 2022, helping spark the global generative AI boom. The company has since expanded beyond consumer products into enterprise and government services while building a user base reportedly approaching 900 million weekly active users.
The company’s journey has not been without controversy. In late 2023, OpenAI’s board temporarily removed CEO Sam Altman, citing concerns about transparency and leadership. Altman was reinstated within days following widespread support from employees and investors, while several board members involved in the decision later departed the company.
OpenAI has also faced growing legal and regulatory scrutiny. The company is currently involved in multiple lawsuits related to AI safety, user protection, and content generation. Most recently, it successfully defended itself in a high-profile lawsuit brought by co-founder Elon Musk, who alleged that OpenAI had abandoned its original nonprofit mission. The case was dismissed after both a jury and judge concluded that Musk filed his claims beyond the applicable legal deadlines.
Additional criticism has emerged over political donations made by OpenAI President Greg Brockman and his wife. OpenAI has stated that those contributions were personal decisions and were not made on behalf of the company.
As OpenAI and Anthropic move toward potential public listings, investors will be watching closely to see which company can best balance rapid growth, massive infrastructure spending, regulatory scrutiny, and the long-term promise of artificial intelligence.
