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OpenAI Revenue Slashed: $20B Less Than Feared
8 Oct
Summary
- OpenAI's annualized revenue approaches $50 billion, not $70 billion.
- Previous $70 billion figure was based on investor comparisons.
- OpenAI's IPO is now expected in early 2027.
OpenAI has communicated to investors that its annualized revenue is currently approaching $50 billion. This figure is approximately $20 billion less than a previously reported $70 billion run rate.
The higher $70 billion figure was reportedly derived from investors' attempts to directly compare OpenAI's performance with that of Anthropic. It is important to note that both companies calculate their annualized revenues using different methodologies.
This revenue recalibration comes as OpenAI faces scrutiny over its significant expenditures and investments, including a $122 billion funding round in March. Leaked financial documents from earlier this year indicated substantial spending exceeding revenue.
Consequently, OpenAI's anticipated initial public offering (IPO), which had been rumored to occur this year, has been deferred and is now expected in early 2027.
