OpenAI Submits IPO Papers, Paving Way for Wall Street Entry
ChatGPT-maker OpenAI has filed preliminary paperwork that could pave the way for it to become a publicly traded company, positioning itself as the third member of a powerhouse trio of artificial intelligence firms vying for Wall Street debuts. The company announced on Monday that it has submitted confidential documents to the US Securities and Exchange Commission. “We expect it to leak so we’re just announcing it,” the company said in a written statement.
“We have not decided on timing yet; it may be a while because there are things we want to do that are likely easier as a private company. However, it presents a complex array of trade-offs, and this provides us the opportunity to pursue a public offering sooner if that ultimately proves to be the most advantageous course of action.” OpenAI’s decision comes in the wake of its competitor Anthropic’s announcement on June 1, revealing its own plans to pursue an initial public offering of shares. Both are now following Elon Musk’s space company SpaceX, which has commenced an IPO roadshow presenting itself as an AI-focused space enterprise.
OpenAI CEO Sam Altman first publicly floated the possibility of an IPO last autumn, describing it as the “most likely path” for the company given its size and the need for vast amounts of capital to advance its technology. OpenAI’s move last year to restructure its business structure and transform itself into a public benefit corporation—despite the fact that it is still formally governed by a nonprofit—paved the path for going public.
