OpenAI Weighs IPO Delay to 2027 Amid Cash Burn and Valuation Disagreement

In June 2026, OpenAI confidentially submitted its S-1 registration statement to the U. S. Securities and Exchange Commission (SEC), formally beginning the initial public offering process. The company has since leaned toward postponing its IPO timeline to 2027. In recent months, several major investors have privately voiced concerns over the company’s rapid cash burn, arguing that revenue growth cannot match expenditures. Others have chosen to diversify risk by also investing in Anthropic.

SpaceX’s post-listing share performance has put direct pressure on OpenAI’s IPO plans. On June 12, SpaceX listed on Nasdaq at an issue price of $135 per share, with a first-day market value exceeding $1.77 trillion, setting a record for the largest IPO in U. stock market history and drawing retail subscriptions of more than $100 billion. On June 23, the stock fell around 16% in a single day, and on July 15 it broke below its issue price for the first time. By the July 28 close at $116.41, it had fallen 48.4% from its all-time high of $225.64. On July 31, it dropped further to $108, with market value erosion exceeding $1.2 trillion from that peak.

OpenAI’s financials have widened investor disagreement over its valuation. The company recorded a net loss of $38.5 billion in 2025, driven mainly by spending on computing infrastructure and research and development. In the first quarter of 2026, its cash burn reached $3.7 billion, more than half of the $5.7 billion in revenue for the same period. After a funding round in March 2026, OpenAI’s post-money valuation stood at $852 billion, still below the $1 trillion target. CEO Sam Altman has held firm on a $1 trillion valuation floor, deeming any plan below that level unacceptable. The advisory team has laid out two options: postpone the IPO to 2027 to await an improved market environment, or accept a lower valuation and list before the end of 2026.

While OpenAI pulls back its listing timetable, rival Anthropic is accelerating its own IPO preparations. At the end of May, Anthropic completed a $65 billion Series H fundraising round at a post-money valuation of $965 billion, surpassing OpenAI’s $852 billion. On June 1, Anthropic confidentially submitted a draft Form S-1 to the SEC and chose Morgan Stanley, Goldman Sachs, and JPMorgan as lead underwriters. During its roadshow, Anthropic has emphasized its competitive edge over the ChatGPT maker.

OpenAI confidentially filed its S-1 with the SEC on June 8. The latest data show that OpenAI’s annualized recurring revenue in July exceeded its entire second-quarter total.