OpenAI IPO: When Will OpenAI Stock Begin Trading?

Explore how to own OpenAI stock before the IPO through venture capital funds. The Fundrise Innovation Fund* announced a stake in OpenAI on April 18th. All U.S.-based investors 18+ can now own a piece of OpenAI for a $10 minimum investment.

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Recent OpenAI News

11/21/2024: OpenAI Considers Taking on Google With Browser
10/02/2024: OpenAI asks investors not to back rivals
10/02/2024: New funding to scale the benefits of AI 
09/27/2024: OpenAI May Give Altman 7% Stake in For-Profit Shift
Older news…

About OpenAI

OpenAI is an artificial intelligence research laboratory based in San Francisco, California, with an additional office in Seattle, Washington. It was founded in 2015 by a group of influential tech including Elon Musk, Sam Altman, Greg Brockman, Ilya Sutskever, John Schulman, and Wojciech Zaremba.

The company is best known for developing the ChatGPT (Generative Pre-trained Transformer) AI language model with over 175 billion parameters and GPT-4 with about 1 trillion parameters. These tools have a wide range of applications, from language translation to generating creative writing.

OpenAI started as a non-profit organization focused on promoting friendly AI for the benefit of humanity. But in 2019, it launched a for-profit arm called OpenAI LP to pursue commercial applications of AI.

OpenAI’s secondary products and services include AI consulting, advising organizations on integrating AI into their operations, training programs for developers, and conferences and workshops for AI researchers and enthusiasts.

Sam Altman served as the president of the startup accelerator Y Combinator, and Greg Brockman served as the company’s chief technology officer. Another notable figure include Ilya Sutskever, a leading researcher in deep learning.

Dario Amodei, who oversaw research on safety, security, and ethics in AI left in 2019 to start Anthropic. Co-Founder Elon Musk has started a new company called xAI. Competitors like Cohere are building similar products for enterprise markets.

The organization has also collaborated on research and development projects with several top academic institutions, including MIT, UC Berkeley, and Stanford.

OpenAI claims to be actively involved in promoting AI’s ethical and safe development and has been a vocal advocate for responsible AI research and development practices.

The author is long OpenAI two different ways. This video explains how, including screen shares of my accounts. 

Ownership

OpenAI is a privately held company. Its ownership is primarily made up of its founders, investors, and employees.

OpenAI was initially founded as a non-profit research organization in December 2015. But in 2019, OpenAI announced that it was creating a “capped” for-profit entity to pursue its goal of developing advanced artificial intelligence technologies.

The new for-profit entity, OpenAI LP, is owned by the original non-profit organization and a group of investors.

The investors in OpenAI include Microsoft, Tiger Global, Andreessen Horowitz, Sequoia Capital, Reid Hoffman, Thrive, K2, Khosla Ventures, Founders Fund, and LinkedIn co-founder Allen Blue. Other individual investors include Sam Altman (Helion Energy investor), Greg Brockman, Ilya Sutskever, John Schulman, and Wojciech Zaremba.

Elon Musk was also a founder but left the organization in February 2018. 

OpenAI has not disclosed the company’s exact ownership structure or its investors’ specific ownership stakes.

IPO Potential

The OpenAI IPO date is currently unknown and unlikely to occur in the next few years, if ever.

CEO Sam Altman said in June 2023 that IPO plans are not immanent because of the company’s odd corporate structure and for fear of getting sued by Wall Street attorneys.

When we develop superintelligence, we are likely to make some decisions that most investors would look at very strangely. I don’t want to be sued by the public market, Wall Street, etc., so no, not that interested [in an OpenAI IPO]. — Sam Altman

If the company eventually decides to pursue a public listing, watch for reporting about exploring a possible IPO with investment banks or a confidential S-1 filing with the SEC.

Bookmark this page for the latest developments.

Funding Rounds

WordPress Data Table Plugin

Valuation

The current OpenAI valuation is $157 billion based on the funding round that completed in October 2024. 

Pre-IPO marketplace data from Hiive and Caplight suggest the estimated valuation is approaching $100 billion as of April 2024.

How to Invest in OpenAI Stock

Since OpenAI is a private company, it is challenging to become an equity owner today.

However, you can increase your chances of early equity ownership or obtain shares in the IPO by taking the actions outlined below.

Accredited investors will have an easier time via pre-IPO investing platforms. Investors must meet the SEC accreditation standard to be eligible for direct investment. 

OpenAI is also available via high-profile venture capital funds as outlined below. 

1. Access OpenAI stock via pre-IPO investing platforms

The Fundrise Innovation Fund announced a stake in OpenAI on April 18th, 2024, via a special purpose vehicle (SPV). Now all U.S.-based investors 18+ can own OpenAI stock for a $10 minimum investment. 

Another notable investment opportunity is the ARK Venture Fund, where non-accredited investors can gain OpenAI stock investment exposure for a $500 minimum investment.  

The ARK Venture Fund disclosed a position in OpenAI on April 10th, 2024. 

Investors can monitor the following pre-IPO investing platforms for direct investment opportunities:

• Hiive
• EquityZen
• Equitybee
• Forge Global
• Linqto 

Expect to pay at least a $10,000 investment minimum. In some cases, the minimum investment is much higher. 

Signing up for online access to pre-IPO data, deal alerts, and expressing interest in currently unavailable startups is free.

However, individual pre-IPO companies cannot be selected, and OpenAI stock is currently not present in either portfolio.

Please note: This is a testimonial in partnership with Fundrise. We earn a commission from partner links on AccessIPOs.com. All opinions are my own.

Check out our list of top pre-IPO investing platforms for current share availability across platforms. 

2. Buy Microsoft Stock

Microsoft invested $11 billion into OpenAI in January 2023. Individual investors who own Microsoft stock now own a small portion of OpenAI. 

Though the equity owned by any one investor is minuscule, you’ll nevertheless be investing in OpenAI indirectly.

If the valuation of OpenAI increases above the $29 billion valuation that Microsoft’s investment established, Microsoft’s stock and investors will benefit. 

3. Participate in the OpenAI IPO through a broker

OpenAI conducted a private funding round in January 2023, providing sufficient funding for operations for the foreseeable future. 

Venture capital firms and individual investors have invested in OpenAI and may seek to liquidate ownership in the coming years when market conditions favor IPOs. 

2023 was looking to be a more promising year for IPOs until the Silicon Valley Bank failure. We do not expect IPO volume to pick up until late 2023 or 2024. 

AI has surpassed cryptography and blockchain as the hottest tech industry, and OpenAI is at the forefront. Investors will line up to invest in the next group of AI-related startups, including Scale AI and data storage company Databricks. 

IPO investors may find opportunities to invest during the IPO when it arrives — acquiring shares at the IPO price the day before the stock begins trading on the open market. 

Once a privilege of the affluent clientele of Wall Street, IPO access has become increasingly accessible to retail investors.

The following online brokers give customers free access to IPOs, even with low account balances:

• TradeStation 
• Robinhood

Exclusive access to highly sought-after IPOs may be restricted based on the type of brokerage accounts you hold and which brokerages have secured exclusive rights.

TradeStation has a longer track record of accessing more than 300 IPOs and secondary offerings via its partnership with ClickIPO. 

But Robinhood has the advantage of Silicon Valley networks and a history of getting allocations for high-profile IPOs.

Read the S-1 filings to find mentions of these online brokers to find opportunities. 

Check out this list of best brokers for IPO investing to learn more about IPO access for retail investors.

4. Buy the stock after the IPO

Most investors will not acquire pre-IPO shares or receive an allocation during the IPO. 

Waiting for stocks to become publicly traded before investing in them has its advantages. The IPO provides investors with access to several sets of financials after a few quarters of reporting, whereas pre-IPO investing has limited financials available for review.

IPO stock prices typically rise with high-demand companies. You can benefit if you’re in early and sell when the price overheats.

But without IPO access, post-IPO investors may be tempted to acquire shares at inflated prices. 

In 2021, for example, both Rivian and Robinhood became high-flying IPO stocks. But six months after the IPO, both stocks were more than 80% below their price peak. 

Stock price declines after IPOs can be excellent entry points.

Avoid purchasing overvalued shares immediately after the IPO, as they tend to experience a decline in value following lockup expirations and quarterly earnings disappointments.

In contrast, the most disruptive companies are likely to experience higher valuations a decade from now. Be selective and patient. 

OpenAI Leadership Controversy

Sam Altman was briefly let go as CEO on Friday, November 17th, 2023. It was widely regarded as a massive mistake, leading to 95% of the company’s employees threatening to quit. 

The Board of Directors issued this statement to explain its action:

[Altman] was not consistently candid in his communications with the board, hindering its ability to exercise its responsibilities. The board no longer has confidence in his ability to continue leading OpenAI.

Altman was vulnerable due to the unique corporate structure of OpenAI, starting as a not-for-profit and converting to a “capped” profit company in 2019. Altman claims he did not own any of the company.

Reporting suggests the effort to oust Altman was led by Ilya Sutskever and revolved around the company’s profit motives vs. AI safety. Brockman, who was a Board member not involved in discussions, resigned.

Mira Murati, the company’s chief technology officer, served briefly as interim CEO. But she wanted Altman and Brockman back, making her unsuitable to remain in the position.

The Board of Directors then asked Emmett Shear, former CEO of Twitch, to lead the company on November 19th, 2023.

Altman’s removal surprised the tech industry and investors, including Microsoft. Microsoft temporarily offered Altman a position leading a new research center. 

But employees and investors rallied behind Sam Altman, and by Wednesday, November 22nd, he was reinstated as CEO with Board changes to come. 

Frequently Asked Questions (FAQs)

Is OpenAI Publicly Traded?

No. OpenAI is not publicly traded. It is a private company. 

Where can I find the OpenAI S-1 Filing?

OpenAI has yet to release an S-1 filing to the public. There is no evidence of a confidential S-1 filing yet. 

News of a confidential or public S-1 filing would kick off the IPO process, suggesting the IPO could occur during the following two to six months. 

When the company releases the S-1 filing to investors, we’ll link to and embed the document on this web page.

In the meantime, you can check out the most recent S-1 filings in our S-1 filings feed. 

What is the OpenAI Stock Symbol?

There is no OpenAI stock symbol yet because it is a private company.

Here is one OpenAI ticker suggestion that appears to be available in the U.S.: 

• OAI

What is the OpenAI Stock Price?

A public OpenAI stock price does not exist because the company is private. 

The estimated OpenAI stock price is $274 per share based on the October 2024 funding round at a $157 billion valuation.

OpenAI News Archive 

09/14/2024: OpenAI’s huge valuation hinges on corporate structure
09/11/2024: OpenAI Fundraising Set to Value at $150 Billion
08/29/2024: Apple Is in Talks to Invest in OpenAI
08/28/2024: OpenAI in talks to raise at $100 billion valuation
07/25/2024: OpenAI Unveils SearchGPT
06/12/2024: OpenAI Doubles Annualized Revenue to $3.4 Billion
06/06/2024: NYT: AI Antitrust Inquiries of OpenAI Imminent
05/10/2024: Apple Nears Deal to Put ChatGPT on iPhone
04/18/2024: The Fundrise Innovation Fund Discloses OpenAI Stake
05/10/2024: OpenAI plans to announce Google search competitor
04/11/2024: Cathie Wood’s ARK Venture Fund Buys OpenAI Stake
03/29/2024: MSFT and OpenAI Plot $100 B Stargate AI Supercomputer
02/16/2024: OpenAI Completes Deal That Values the Company at $80 Billion
01/09/2024: European Commission reviewing MSFT OpenAI investment
01/04/2024: OpenAI Discussed Board Seat With Scale AI’s Wang
12/27/2023: NYT Sues OpenAI and MSFT Over A.I. Use of Copyrighted Work
12/22/2023: OpenAI in Talks to Raise New Funding at $100+ B Valuation
11/22/2023: Thrive-Led OpenAI Tender to Continue After Altman Returns
11/22/2023: Altman and Brockman to Return to run OpenAI. Board to change. 
11/20/2023: Altman and Brockman to Join Microsoft
11/20/2023: OpenAI Hires Emmett Shear (Twitch) as new CEO
11/17/2023: OpenAI announces leadership transition (Altman Ousted)
10/18/2023: OpenAI Is in Talks to Sell Shares at $86 Billion Valuation
10/06/2023: OpenAI is exploring making its own AI chips
09/26/2023: OpenAI Seeks New Valuation of Up to $90 Billion
09/21/2023: More Authors Sue OpenAI
08/29/2023: OpenAI Passes $1 Billion Revenue Pace
08/28/2023: OpenAI launches ChatGPT Enterprise
08/24/2023: OpenAI partners with Scale AI
07/05/2023: Authors sue OpenAI
06/20/2023: OpenAI Considers Creating an App Store for AI Software
06/07/2023: Altman rules out IPO plans due to ‘strange’ company structure
05/16/2023: Sam Altman’s first congressional hearing on A.I.
05/10/2023: Sam Altman to testify before Congress (Tues 05/16)
04/28/2023: OpenAI closes $300M share sale at $27B-29B valuation
04/18/2023: Elon Musk plans ‘TruthGPT’ A.I. to rival OpenAI
03/24/2023: The secret history of Musk, Altman, and OpenAI
03/01/2023: ChatGPT Now Available Integrate in Apps
01/23/2023: Microsoft announces investment in OpenAI
01/05/2023: OpenAI Talking to Investors About $29 Billion Valuation
12/15/2022: OpenAI projects $1 billion in revenue by 2024

Conclusion

Investors become interested in buying companies riding extraordinary macroeconomic trends (AI, robotic AI integration). OpenAI is unique in that many startups are building on top of the ChatGPT API. Perplexity AI is one example. 

Many other startups are hot on its tail, including the French startup Mistral AI.

But acquiring ownership in OpenAI pre-IPO is challenging for retail investors, particularly for non-accredited ones.

Pre-IPO investing platforms have opened more opportunities for retail investors. But venture capital investing is still mostly reserved for accredited investors. 

Investors may face difficulties in obtaining pre-IPO shares.

Temper your expectations if you’re inclined to pursue pre-IPO equity in OpenAI. You’ll likely need to wait for the IPO, which could be years away.

Good luck if you wish to buy OpenAI stock before the IPO. Invest in pre-IPO and IPO companies at your own risk.