OpenAI Targets 2027 IPO Amid Executive Turnover

OpenAI expects to go public by 2027, according to CFO Sarah Friar, who informed employees during a Wednesday all-hands meeting that a debut could occur sooner if growth continues to accelerate. Friar stated that the company has confidentially filed its IPO prospectus with the Securities and Exchange Commission, a step also taken by its competitor, Anthropic. While Anthropic may go public as early as September, Friar described the IPO as a fundraising milestone rather than a finish line.

The company is working to justify an $852 billion valuation following the departures of revenue chief Denise Dresser, executive Brad Lightcap, and product business chief Fidji Simo. President Greg Brockman defended the turnover, suggesting the company's high public profile leads to increased scrutiny of departures.

To demonstrate stability, Friar shared internal data showing a 35% increase in revenue run rate quarter-to-date and 20 million weekly active users for AI coding and work products. OpenAI's annualized revenue run rate has recently exceeded $40 billion, though Anthropic has reported a higher run rate of $65 billion.