ChatGPT maker OpenAI’s revenue run rate tops US$40 billion ahead of IPO
OpenAI, the company behind the popular ChatGPT, is experiencing a significant surge in revenue, with its annualized revenue run rate exceeding $40 billion. This impressive figure is roughly double the company's run rate at the end of 2025, which was over $20 billion. The substantial growth in revenue is a testament to the company's strong performance and bolsters its plans for an initial public offering (IPO) on Wall Street.
Revenue Growth Drivers
The growth in revenue can be attributed to the increasing demand for OpenAI's artificial intelligence coding software, as well as the momentum from subscription sales and its nascent advertising business. The company's core consumer business continues to grow, driven by the popularity of its AI-powered products. OpenAI is locked in a fierce battle with its longtime rival, Anthropic, the maker of Claude, to sign up more business customers. Both companies have filed confidential paperwork to go public, with Anthropic expected to make its initial public offering as soon as this fall, ahead of OpenAI.
The competition between OpenAI and Anthropic is intense, with both companies vying for market share in the AI industry. Anthropic has gained traction with its AI tools that streamline complex tasks, including coding, and has reported a run-rate revenue of over $47 billion. However, it's worth noting that the two companies may not measure their run rates in the same way, as a company's run rate projects full-year revenue from a shorter period. OpenAI's revenue growth is a significant achievement, and the company is well-positioned to continue its momentum in the market.
Leadership and Strategy
On Thursday, August 13, OpenAI named its second new chief revenue officer in less than a year, tapping a cybersecurity executive to help drive sales growth. The appointment is a strategic move by the company to strengthen its leadership team and accelerate its revenue growth. In an internal announcement, OpenAI co-founder and president Greg Brockman stated that the company's annual revenue run rate increased by more than 20% month-over-month in July. This significant increase in revenue is a testament to the company's strong performance and its ability to adapt to changing market conditions.
OpenAI has seen a sharp uptick in demand for its AI agents in recent weeks, including Codex for coding and ChatGPT Work for a wider mix of tasks. The company has also cut prices on certain models to better compete for cost-conscious customers against Anthropic and a long list of Chinese rivals. This strategic move is aimed at increasing the company's market share and attracting more customers to its platform. With its strong revenue growth and competitive pricing strategy, OpenAI is well-positioned to continue its success in the AI industry and make a successful debut on Wall Street.
Source: businesstimes.com.sg · 2026-08-13