OpenAI postpones its $1 trillion IPO target after reporting a $38.5 billion loss in 2025 and facing market skepticism.
OpenAI has reportedly pushed its IPO timeline to 2027, delaying plans for a $1 trillion valuation. The company lost $38.5 billion in 2025 on $13 billion in revenue, with profitability not expected until 2029. CEO Sam Altman insists on the $1 trillion target despite market caution.
The confidential S-1 filing in May 2026 initially targeted a Q4 2026 debut. However, SpaceX’s post-IPO volatility, which saw shares drop 32% from their peak, has reportedly influenced OpenAI’s advisors to recommend a delay. Altman has dismissed any valuation below $1 trillion as unacceptable.
Market skepticism has grown as AI adoption fails to accelerate as projected. Meta CEO Mark Zuckerberg recently acknowledged AI’s slower-than-expected progress, further challenging OpenAI’s valuation thesis.