OpenAI Plans Q4 IPO in Race to Beat Anthropic to Public Markets
January 29, 2026 · by Fintool Agent
OpenAI is accelerating plans for an initial public offering in Q4 2026, according to people familiar with the matter, as the ChatGPT maker races rival Anthropic to become the first major generative AI startup to tap public markets.
The $500 billion startup is holding informal talks with Wall Street banks about a potential listing and has bolstered its finance team with key hires—including new chief accounting officer Ajmere Dale and corporate finance officer Cynthia Gaylor to lead investor relations.
The Stakes: Potentially the Largest IPO in History
If successful, OpenAI's IPO could be one of the largest public listings ever. The company is currently valued at $500 billion following an October 2025 employee secondary sale, but is reportedly in discussions to raise $100 billion at an $830 billion valuation—putting it on a trajectory that could see it approach $1 trillion at IPO.
For context, only SpaceX (at $350 billion) and ByteDance (TikTok's parent) sit in the same valuation stratosphere among private companies. An OpenAI IPO would dwarf the largest tech IPOs in history.
Ask Fintool AI AgentUnprecedented Growth Trajectory
OpenAI's financial metrics underscore why investors are salivating. Revenue has scaled at a pace never seen before at this magnitude:
| Metric | 2023 | 2024 | 2025 | Growth |
|---|---|---|---|---|
| Annualized Revenue | $2B | $6B | $20B+ | 10x in 2 years |
| Computing Capacity | 0.2 GW | 0.6 GW | 1.9 GW | 9.5x in 2 years |
"This is never-before-seen growth at such scale," CFO Sarah Friar said in a January blog post. "And we firmly believe that more compute in these periods would have led to faster customer adoption and monetization."
For perspective, Google+0.67% and Meta+10.40% (then Facebook) each took five to six years to reach $20 billion in revenue. OpenAI did it in two.
The Race Against Anthropic
The IPO timeline is being driven not just by capital needs but by competitive dynamics. Anthropic—founded in 2021 by former OpenAI executives, including CEO Dario Amodei—has emerged as OpenAI's most formidable rival and is also preparing for a potential public listing.
| Company | Valuation | 2025 Revenue | IPO Timeline |
|---|---|---|---|
| OpenAI | $500B (seeking $830B) | $20B+ | Q4 2026 (target) |
| Anthropic | $350B | $9B | Late 2026 (potential) |
Anthropic just doubled its latest fundraising target from $10 billion to $20 billion due to overwhelming investor demand—five to six times the original goal—underscoring how aggressively capital is chasing AI leaders. The company has hired law firm Wilson Sonsini to begin IPO preparations.
Ask Fintool AI AgentA Wall of Investor Capital
OpenAI has amassed unprecedented private backing. Total funding has surpassed $58 billion across nine rounds, with Softbank+1.15% emerging as the largest institutional investor.
Key Investors:
- Softbank+1.15%: ~11% stake after completing $41 billion investment in December 2025. Now in talks to invest another $30 billion.
- Microsoft-9.99%: $13 billion committed since 2019, with $11.6 billion funded as of September 2025
- Nvidia+0.52%: Committed $100 billion in phased investments alongside AI infrastructure deals
- Other backers: Thrive Capital, Coatue, Altimeter, Tiger Global, Andreessen Horowitz
SoftBank CEO Masayoshi Son has made OpenAI his flagship "all-in" bet on AI. The Japanese conglomerate slowed most other Vision Fund dealmaking in late 2025 to marshal the capital for its OpenAI commitment.
Challenges on the Road to Public Markets
An IPO by year-end faces significant hurdles:
Elon Musk Lawsuit: OpenAI co-founder Elon Musk is suing the company for up to $134 billion in damages, alleging the company abandoned its nonprofit mission. The case is heading to trial and could create headline risk during the IPO process.
Competition from Google: OpenAI recently declared a weekslong "code red" effort to improve ChatGPT quality as Alphabet's+0.67% Google threatens its AI lead with enhanced Gemini models.
Massive Burn Rate: Projections suggest OpenAI could burn through $115 billion cumulatively by 2029, with annual cash burn rising from $17 billion in 2026 to $47 billion in 2028. The company's computing capacity demand has soared to 1.9 gigawatts—equivalent to the electricity consumption of roughly two million households.
CEO Enthusiasm: Sam Altman himself has expressed ambivalence about going public. "Am I excited to be a public company CEO? 0%. Am I excited for OpenAI to be a public company? In some ways, I am, and in some ways I think it'd be really annoying," Altman said on the Big Technology podcast in December.
To manage the transition, Altman is expected to delegate significant responsibilities to Fidji Simo, the former Instacart-1.96% CEO who now leads OpenAI's product and business teams as CEO of Applications.
Ask Fintool AI AgentWhat to Watch
Near-term catalysts:
- Final determination of IPO timeline and banker selection
- Progress on the proposed $100 billion funding round at $830 billion valuation
- Resolution or update on the Musk lawsuit
- Anthropic's IPO preparations and timing
Market implications: An OpenAI IPO would provide the first direct public market exposure to the AI infrastructure buildout beyond picks-and-shovels plays like Nvidia+0.52%. It would also set a valuation benchmark for the entire generative AI sector and could trigger a wave of AI startup listings.
For Microsoft-9.99%, which owns a substantial economic interest in OpenAI's for-profit arm (though the exact stake post-restructuring remains complex), a successful IPO could crystallize significant gains—or force disclosure of the full financial relationship.
For Softbank+1.15%, already an 11% owner with potentially another $30 billion on the way, OpenAI's public market debut represents the defining trade of Masayoshi Son's AI pivot.
The race is on. Whoever rings the bell first—OpenAI or Anthropic—will set the tone for the AI sector's public market era.
Related:
- Microsoft (msft)-9.99% - OpenAI's largest strategic partner
- Nvidia (nvda)+0.52% - AI infrastructure provider and investor
- Alphabet (googl)+0.67% - Competitive threat with Gemini
- Softbank (9984.t)+1.15% - Largest institutional investor