OpenAI is reportedly considering delaying its initial public offering until 2027, as financial advisers question whether current market conditions can support a $1 trillion valuation. The ChatGPT developer had been preparing for a possible listing in late 2026 after filing confidential paperwork with the U.S. Securities and Exchange Commission.
The potential shift follows notable volatility in technology shares. SpaceX’s stock, which soared after its June 2026 IPO, has since fallen sharply, raising concerns about investor appetite for high-valuation tech offerings.
Advisers Flag Concerns Over 2026 IPO Timing
OpenAI has engaged bankers and legal teams to explore a public listing. CEO Sam Altman reportedly directed the team to target a $1 trillion market capitalization, exceeding OpenAI’s most recent private valuation of roughly $852 billion. However, advisers cautioned that public markets may not show sufficient enthusiasm for the deal under current conditions.
According to sources familiar with the discussions, two paths were presented: wait until 2027 to pursue the full valuation, or accelerate the timeline in 2026 at a lower price. Altman described any valuation reduction as a “nonstarter.” OpenAI confirmed it has filed confidential IPO documents but emphasized it has not committed to any specific timeline.
Financial Readiness and Spending Pressures
OpenAI generated approximately $13 billion in revenue last year while reporting a net loss of about $21 billion. The company expects sustained heavy spending on computing infrastructure, chips, data centers, and hardware through 2030. CFO Sarah Friar has voiced concerns about whether OpenAI is prepared for the rigorous public reporting requirements, including regular financial statements, risk disclosures, and cost guidance.
Meanwhile, OpenAI is exploring new revenue streams. It has tested advertising within ChatGPT and is pursuing commerce partnerships with Shopify and Stripe. The company has also scaled back spending on some loss-making projects, such as parts of its Sora video business, as part of a broader cost-review initiative.
SpaceX Market Activity Reshapes IPO Sentiment
SpaceX went public on June 12 in a record-breaking IPO that raised more than $85 billion. Shares initially surged above $225 but later dropped to around $153, demonstrating how quickly investor sentiment can shift after a high-profile debut. This volatility has become a key reference for OpenAI’s advisers, reinforcing that a strong first trading day does not guarantee sustained support at elevated valuations.
Broader weakness in the technology sector has also made investors more cautious toward capital-intensive companies. Anthropic, another AI firm, has filed confidentially for its own IPO, and other companies like Discord, Kraken, Strava, and Oura have also entered the IPO pipeline, creating a crowded market.
OpenAI has not made a final decision. The company could still list in late 2026 at a lower valuation, or postpone to 2027. Any update will depend on its financial performance, spending trajectory, market stability, and investor confidence in the $1 trillion target.