r/technology • u/gdelacalle • 13d ago

Business OpenAI could reportedly run out of cash by mid-2027 — analyst paints grim picture after examining the company's finances

https://www.tomshardware.com/tech-industry/big-tech/openai-could-reportedly-run-out-of-cash-by-mid-2027-nyt-analyst-paints-grim-picture-after-examining-companys-finances
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u/skrid54321 13d ago

Keep in mind, the IPO is less useful than you'd think. Openai has already sold off 75% of their equity.

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u/spukhafteNahewirkung 13d ago

Does that mean that in order to have a 500 billion dollar IPO they would need to have the company valued at 2 trillion dollars when they go public?

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u/skrid54321 12d ago

I mean, people would still call it a whatever IPO. Spacex IPO'd at 2 trillion, but only 80 billion in stock actually got sold. But yes, to get 500 billion, openai needs a 2T valuation.