An OpenAI spokesperson clarified that an IPO is not currently a priority for the company, focusing instead on building a sustainable business and advancing its mission toward AGI (Artificial General Intelligence). Recent restructuring reduced OpenAI’s dependency on Microsoft, which has invested $13 billion and holds a 27% stake. OpenAI’s valuation is around $500 billion in private markets. Originally a nonprofit in 2015, OpenAI now operates under a structure that maintains nonprofit oversight while offering a 26% stake in the for-profit segment to the OpenAI Foundation. Despite projected revenues nearing $20 billion by the year-end, OpenAI is grappling with substantial quarterly losses, reportedly around $11.5 billion. Microsoft’s recent earnings report highlighted that OpenAI’s losses significantly impacted its net income, underscoring the financial challenges ahead. Investors like Microsoft and SoftBank anticipate potential gains from a future IPO, despite the current financial hurdles.
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