OpenAI May Push IPO to 2027 as Chip Stocks Retreat

OpenAI is considering delaying its initial public offering until 2027, according to a report that sent semiconductor stocks lower on Friday and interrupted a brief rally in AI-related equities.

The AI company is weighing whether to proceed with a 2026 IPO at a valuation below $1 trillion or wait another year for a better chance at crossing that threshold, the New York Times reported. OpenAI filed confidential S-1 paperwork with the Securities and Exchange Commission on June 8 but indicated at the time that it hadn't settled on timing, noting certain strategic moves would be "easier as a private company."

OpenAI's most recent valuation stood at $852 billion post-money as of March. Its primary competitor Anthropic, which filed confidential IPO paperwork on June 1, was last valued at $965 billion.

Why it matters

The potential delay signals caution among even the most prominent AI companies about public market conditions. OpenAI's hesitation reflects broader uncertainty about whether current AI valuations can hold—a question that has repeatedly rattled chip stocks and AI equities in recent months. For enterprise technology buyers and investors, the decision underscores that even category leaders are carefully timing their exposure to public market scrutiny.

SpaceX performance influences timing

Part of OpenAI's calculus stems from observing SpaceX's recent public market performance. The space company's stock initially surged from its $150 opening price to more than $225 but retreated to $151 by early Friday. Since its debut, SpaceX announced plans to acquire AI coding tool Cursor and raised $25 billion through a bond sale.

Brief chip rally interrupted

The OpenAI news halted a rally in memory stocks that began Thursday following Micron's strong earnings report on Wednesday. Micron exceeded analyst expectations on both revenue and profit while providing optimistic forward guidance. Separately, Qualcomm announced new data center products Wednesday and projected $15 billion in data center revenue for fiscal 2029.

Those announcements had temporarily eased investor concerns about an AI bubble, but Friday's report reignited questions about the sustainability of elevated valuations across chip stocks and AI companies.

The details were first reported by the New York Times.