San Francisco, May 30, 2026, 10:05 PDT
- OpenAI has reportedly talked about bringing Citigroup and JPMorgan on board for its IPO banking roster, Bloomberg News said, hinting that its public market ambitions are gathering steam.
- Big funds are getting ready for high-profile IPOs from OpenAI, SpaceX, and Anthropic, while the question of index inclusion is front and center for the market.
- Valuation is the sticking point. Once OpenAI’s prospectus lands, public investors will be able to scrutinize losses, cost structures, and governance in detail.
OpenAI has held talks with Citigroup and JPMorgan Chase regarding roles in its upcoming initial public offering, Bloomberg News reported Friday, citing sources familiar with the discussions. The move marks another step toward a public listing for the ChatGPT developer.
OpenAI could be moving closer to an IPO, with Bloomberg reporting that the company may submit confidential paperwork to regulators in the coming weeks. Such a filing amounts to a private draft prospectus—kept out of public view until OpenAI decides to release its official documents to investors.
Earlier this month, Reuters reported that OpenAI is gearing up to file for a U.S. IPO in the next few weeks, targeting a public debut as soon as September. Goldman Sachs and Morgan Stanley are handling the initial prospectus, according to the report.
OpenAI, carrying an $852 billion valuation, is pushing to go public. Investors are also watching for listings from Elon Musk’s SpaceX and competing AI player Anthropic. According to Reuters this week, big mutual funds and passive index funds are already slotting away extra cash and eyeing sales of large-cap names to clear space for the anticipated deals.
Goldman Sachs executive John Flood flagged rising attention from investors on the possible effects of major IPOs lined up, according to a May 22 note quoted by Reuters. Flood pointed out that U.S. equity mutual funds typically boosted cash reserves ahead of each of the four biggest IPOs in recent decades.
Citigroup and JPMorgan are in talks to potentially join Goldman and Morgan Stanley on OpenAI’s deal, Bloomberg reported, but those conversations might not lead to any formal roles. The outlet also noted that additional banks are expected to be involved with the offering.
OpenAI got a boost when a U.S. jury sided against Musk’s claims the company abandoned its nonprofit roots. IPOX Vice President Kat Liu told Reuters that clearing up the lawsuit “removed a major obstacle” and likely emboldened OpenAI to move up its schedule. Reuters
The dispute isn’t over yet. Musk plans to appeal, and the trial spotlighted doubts about Chief Executive Sam Altman’s credibility. Dan Ives at Wedbush described the outcome to Reuters as “a huge win for Altman and OpenAI,” but said Altman’s leadership reputation didn’t escape unscathed, picking up “scrapes and bruises.” Reuters
Competition is intense. SpaceX is pushing ahead with an IPO that might vault it into the ranks of the world’s most valuable public firms, but the filing lays bare big outlays—and big red ink—on AI. The company’s AI segment posted a $2.47 billion loss in Q1, despite racking up $818 million in revenue.
Anthropic is feeling the heat from another direction. The Claude developer announced on Thursday a $65 billion raise, pushing its post-money valuation up to $965 billion—topping OpenAI on that metric. “Claude was becoming ‘increasingly indispensable’ to global customers,” Chief Financial Officer Krishna Rao said. The Guardian
OpenAI hasn’t released its numbers to the public yet. The S-1 filing, which will spell out financial details, ownership, and risk factors, should shed light on everything from cash outflows and model-serving expenses to revenue streams and stock compensation. Fortune has pointed out that investors are focused on whether OpenAI can translate heavy spending on computing power into lasting profitability.
Governance is another issue. OpenAI’s nonprofit foundation owns 26% of OpenAI Group, while Microsoft controls roughly 27%. Employees and other investors make up the remainder. The setup comes out of OpenAI’s shift to a public benefit corporation—a for-profit with a formal public-benefit mission.
The schedule isn’t locked in. Confidential filings might linger with regulators for weeks, maybe months, while markets themselves can turn on a dime. University of Florida professor Jay Ritter, an IPO specialist, told Reuters that companies with lofty sales multiples often pitch a compelling narrative, “but, you know, stuff could go wrong.” Reuters
