OpenAI annualized revenue tops $40 billion ahead of IPO

OpenAI is on track to surpass $40 billion in annualized revenue, a figure about double its 2025 closing revenue, according to Bloomberg. This growth is happening as the company gears up for its IPO and battles rival Anthropic PBC for corporate clients. OpenAI's COO, Greg Brockman, revealed in an internal email that the company's annual revenue run rate surged over 20% in July.

CFO Sarah Friar had earlier stated that the company ended 2025 with over $20 billion in annualized revenue. Bloomberg credits this revenue boost to higher demand for OpenAI's AI coding tools, subscription growth, and the nascent advertising revenue stream. The company's AI agents, including coding helper Codex and versatile ChatGPT Work, are also drawing more attention.

OpenAI has even cut prices for certain models to attract cost-conscious customers in a competitive market filled with Anthropic and Chinese rivals. In July, OpenAI's annual recurring revenue had already topped the second quarter total, according to Friar. CEO Bret Taylor credited this momentum to three products: the GPT-5.6 model series, ChatGPT Work, and Codex.

Despite its success, OpenAI still incurred a net loss of $38.5 billion in 2025 on $13.07 billion in revenue. The company has also been losing key executives, including Denise Dresser, who is stepping down as COO and being replaced by Dali Rajic, who previously headed cybersecurity firm Wiz. This leadership shake-up is part of OpenAI's strategy to expand its enterprise business before going public. The company filed a confidential IPO prospectus with the SEC in June.