NEW: OpenAI is on track to top $40 billion in annualized revenue, roughly doubling since the end of 2025 as it gears up for a Wall Street IPO.

What happened

OpenAI says it will generate more than $40 billion in annualized revenue—meaning the revenue it would earn in a full year if current rates continue—about double its earnings at the end of 2025, while it prepares for a Wall Street initial public offering (IPO).

Confirmed

Global impact / market context

A $40 billion revenue run makes OpenAI one of the largest private tech firms, so investors see a potentially huge valuation at its IPO, which could set pricing benchmarks for other AI companies in the public market.

Analyst inference

AI spending is accelerating as businesses adopt generative tools, and recent public listings have shown strong demand for such stocks. OpenAI’s size signals that the sector may attract more capital and heightened analyst coverage globally.

Analyst inference

What to watch

1. IPO pricing expectations – watch the range analysts forecast for OpenAI’s share price, which will indicate how much investors value its AI services and growth prospects. Analyst inference
2. Regulatory scrutiny – monitor any new government rules on AI safety or data use that could raise compliance costs for OpenAI and affect its product rollout speed. Analyst inference
3. Competitive landscape – keep an eye on major cloud and AI firms launching rival large‑language models, as increased competition could pressure OpenAI’s pricing power and customer acquisition. Analyst inference

Evidence

• x.com