OpenAI is reportedly preparing for an IPO in the second half of next year, aiming to raise at least $60 billion at a target valuation of $1 trillion.

According to three sources familiar with the matter, OpenAI is preparing for an initial public offering (IPO) with a target valuation that could reach around $1 trillion, potentially making it one of the largest IPOs ever and providing CEO Sam Altman with a larger funding pool to realize his ambitious plans.

One source said OpenAI is considering filing for listing with securities regulators as early as the second half of 2026. The sources said that in initial discussions, the company is considering raising at least $60 billion, and possibly more. They cautioned that negotiations are still in the early stages, and plans—including figures and timelines—may change depending on business growth and market conditions.

The sources said that the company's CFO, Sarah Friar, told some colleagues that the company plans to go public in 2027. However, some advisors predict it could come earlier, around the end of 2026.

An OpenAI spokesperson stated, "An IPO is not our priority, so it's impossible for us to set a date. We are building a lasting business, advancing our mission to ensure everyone benefits from AGI."

The IPO preparations indicate a renewed sense of urgency within the ChatGPT maker as its complex restructuring and reduced reliance on Microsoft have been completed, prompting calls for leveraging the public markets. People familiar with the company's thinking say an IPO would open the door to more efficient fundraising and enable larger-scale acquisitions using publicly traded stock, helping to fund CEO Sam Altman's multi-trillion-dollar plans to invest in AI infrastructure.

Sources familiar with the matter say OpenAI's annualized revenue is expected to reach around $20 billion by the end of the year, while losses are also increasing within the $500 billion company.

During a conference call on Tuesday (October 28), Altman addressed the possibility of an IPO. He said, "I think, to be fair, given our funding needs, it's the most likely path for us."