OpenAI targets $1 trillion IPO, boosting Microsoft’s stake value

OpenAI has filed confidential paperwork with the U.S. Securities and Exchange Commission to pursue an initial public offering valued at $1 trillion or more. The company, which reorganized as a public‑benefit corporation in late 2025, is expected to delay the listing until 2027 to achieve that valuation, according to reports citing CEO Sam Altman’s refusal to accept a lower price.

Microsoft currently holds roughly 27% of OpenAI on an as‑converted diluted basis, a share that was valued at about $135 billion when the stake was disclosed. If the IPO proceeds at the $1 trillion level, the stake could be worth about $270 billion, equivalent to roughly 9% of Microsoft’s market capitalization. The partnership also includes a commitment for OpenAI to purchase up to $250 billion of Azure services through 2032.

In its most recent quarter, Microsoft reported revenue of $82.9 billion, an 18% year‑over‑year increase, with Azure and cloud services growing 40%. The firm expects to spend about $190 billion on capital expenditures in 2026, much of it aimed at expanding AI infrastructure and data centers, a factor that investors watch alongside the potential OpenAI valuation.