OpenAI’s rapid growth is fuelling speculation about a potential public listing as it continues to attract investor interest.
“In terms of a multiple to pay for stock like ours, there’s incredible interest at the moment,” CFO Sarah Friar told CNBC, highlighting OpenAI’s valuation trajectory.
She described reaching US$11 billion in revenue as “within the realm of possibility” and credited the company’s pace of innovation for sustaining its growth.
Despite its expansion, OpenAI faces financial challenges. In September, the company projected $5 billion in losses on $3.7 billion in revenue for 2024.
However, Friar pointed to OpenAI’s ability to scale efficiently, comparing it to hyperscalers like Amazon, Microsoft, Alphabet, and Meta.
The company is reportedly close to securing a $40 billion investment from SoftBank, potentially valuing it at nearly $300 billion.
Meanwhile, CEO Sam Altman recently rejected a $97 billion takeover bid from Elon Musk and other investors.
Musk, a co-founder, is also suing OpenAI for breach of contract as it transitions into a for-profit entity.
Friar downplayed Musk’s legal battle, stating, “We are eyes on the prize, which is, how do we keep growing our business.”
User Growth and Enterprise Expansion
OpenAI has maintained strong momentum despite growing competition. Weekly active users hit 400 million in February, up from 300 million in December, according to COO Brad Lightcap.
The company’s enterprise segment is also expanding, with two million paying business users, doubling since September.
“We get a lot of benefits, and a tail wind from the organic consumer adoption where people already have familiarity with the product,” Lightcap said, drawing parallels to the evolution of cloud computing.
Developer engagement is also surging, particularly for OpenAI’s reasoning model O3, which has seen traffic quintupling in six months. Major clients include Uber, Morgan Stanley, Moderna, and T-Mobile.
The DeepSeek Effect and Legal Challenges
Despite competition from Chinese AI firm DeepSeek, which rattled tech markets in January, OpenAI remains confident.
Lightcap addressed concerns over DeepSeek’s impact, stating, “It’s a moment that shows how powerful these models are and how much people really care.”
OpenAI has also accused DeepSeek of improper model harvesting, a practice known as distillation.
