OpenAI projects burning through $354 billion by 2030: Financial Times
OpenAI is investing heavily in computing power and expects expenses to vastly outpace those gains, according to FT.
OpenAI anticipates that its negative free cash flow will reach a staggering US$278 billion (S$354 billion) between 2026 and the end of 2030, according to a company presentation cited by the Financial Times. Despite projecting revenue growth from US$36 billion in 2026 to US$350 billion by 2030, the artificial intelligence firm is heavily investing in computing power, expecting expenses to far exceed its revenue gains, the FT reported.
Earlier reports by Bloomberg indicate that OpenAI has been engaging in preliminary discussions with potential investors about a new funding round, which would value the company at over US$1.2 trillion ahead of its anticipated initial public offering (IPO). OpenAI CEO Sam Altman has confirmed that the company's long-awaited IPO remains in progress but is not expected to occur in 2026.
Should the AI giant choose to accept additional funding, it could use the capital to delay the IPO by one or two quarters, as per Bloomberg. Another potential motivation for further fundraising could be to facilitate more mergers and acquisitions, according to Bloomberg.
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