Archive · 11 Aug 2026
OpenAI lets employees cash out $7 billion ahead of IPO
OpenAI is the company that makes ChatGPT, a computer program you can talk to.
People who work at OpenAI own tiny pieces of the company.
The company just helped them sell some of those pieces for about $7 billion in total.
This means employees get some money now instead of waiting until later.
Right now, OpenAI is worth $852 billion, which is a very, very big number.
One day, OpenAI might sell pieces of itself to anyone, which is called an IPO.
OpenAI has already secretly told the US government that it wants to do this.
Some people think the sale will happen in 2026, while others think it will wait until 2027.
OpenAI also has a rival company called Anthropic that makes a similar program.
Anthropic might someday sell pieces of itself to the public, too.
OpenAI completed a deal to let current and former employees sell roughly $7 billion in company shares ahead of a possible IPO.
The buyback valued OpenAI at $852 billion, unchanged from its most recent funding round.
OpenAI previously ran a $6.6 billion tender at a $500 billion valuation in October and a $1.5 billion tender in 2024, and earlier asked investors such as Thrive Capital and SoftBank to buy shares from employees.
OpenAI confidentially filed IPO documents with the US Securities and Exchange Commission in June, though reports suggest the listing may slip to 2027.
Rival Anthropic PBC is also preparing for a potential IPO, and PitchBook says CFO Sarah Friar favoured a 2027 listing while Altman leaned toward September 2026 at a $1 trillion valuation.
- Who
- OpenAI and its current and former employees, CEO Sam Altman, CFO Sarah Friar, and rival AI company Anthropic PBC.
- What
- A roughly $7 billion share sale allowing OpenAI employees to cash out, valuing the company at $852 billion ahead of a potential IPO.
- When
- Completed recently; OpenAI confidentially filed IPO documents in June, with reports of a possible 2026 or 2027 listing.
- Where
- United States, including a confidential filing with the US Securities and Exchange Commission.
- Why
- To ease short-term cash pressure for employees before a possible Wall Street debut.
Earlier IPO (2026)
Later IPO (2027)
IPO timing
Earlier IPO (2026)
CEO Sam Altman was more inclined toward a September 2026 listing at a $1 trillion valuation.
Later IPO (2027)
CFO Sarah Friar favoured waiting until 2027, amid concerns that market activity surrounding SpaceX's public debut could affect investor reactions to a large-scale tech listing.
- Company
- OpenAI, maker of ChatGPT
- Employee share sale
- Roughly $7 billion
- Valuation
- $852 billion
- Share buyers
- OpenAI itself, buying from current and former employees
- Earlier tenders
- $6.6 billion at $500 billion valuation (October); $1.5 billion (2024)
- Capital raised
- $122 billion in March from Big Tech companies and venture capital firms
- IPO status
- Confidential filing with the US Securities and Exchange Commission in June; possible 2026 or 2027 listing
- Rival
- Anthropic PBC, also preparing for a potential IPO