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- OpenAI eyes $1 trillion IPO
News of the day
1. OpenAI is preparing for a potential $1 trillion IPO, aiming for a 2026/2027 listing to fund AI infrastructure, despite significant quarterly losses. → Read more
2. Apple CEO Tim Cook signals openness to AI M&A and partnerships, with next-gen Siri on track for 2026 launch. → Read more
3. Big tech's massive AI capex is unsustainable without $2 trillion revenue by 2030. Current spending is high, revenue low, and hardware costs are soaring. → Read more
4. Bill Gates calls AI the biggest technical advancement of his lifetime but warns of a bubble, comparing current excitement to the dot-com era.→ Read more
Our take
Hi Dotikers!
It’s the number turning heads on Wall Street and in Silicon Valley alike: one trillion dollars. That figure doesn’t just reflect the hype around AI ; it also tells the story of OpenAI’s appetite for massive capital access to fund an energy-hungry, extraordinary infrastructure.
Recent signals all point in the same direction. Reuters reports that the company is laying the groundwork for a potential IPO, aiming to raise at least $60 billion, with a timeline suggesting a filing between late 2026 and 2027. The company has revamped its governance to make fundraising easier ; adopting a public-benefit corporation structure, strengthening the role of its foundation, and keeping Microsoft as a key shareholder. Its commercial momentum is real, with annualized revenue hitting $10 billion by June 2025 and a target close to $20 billion by year-end, supported by an enormous weekly user base.
But should we really validate that $1 trillion valuation today? That threshold seems more like a bet than a fair equilibrium price. It rests on two quick proofs. First, that the unit cost of computation and inference drops significantly thanks to scale effects and better-negotiated cloud contracts. Second, that the revenue mix shifts durably toward enterprise customers, with stronger retention and margins beyond consumer subscriptions.
Add a crucial point: governance must remain transparent and stable to justify such a premium. If OpenAI ticks these boxes, its IPO could become a defining moment for the entire ecosystem…
G.
Meme of the day
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