OpenAI’s Revenue Run Rate Hits $70B as IPO Race Intensifies
OpenAI’s annualized revenue has surged to nearly $70 billion, a sharp increase from the $40 billion reported in August. This growth is driven by enterprise subscriptions, the Codex coding tool, and a rapidly expanding advertising business. The milestone coincides with OpenAI’s DevDay conference in San Francisco. Meanwhile, rival Anthropic is preparing for a public listing, with its own run rate reaching $65 billion by July. Investors are watching Oracle and Microsoft as proxies for these private giants, as both companies have significant financial ties to the AI leaders.
Key points
- OpenAI’s annualized revenue run rate reached approximately $70 billion, up from $40 billion in August.
- Business-to-business revenue has grown over 100% since July 2026, while consumer revenue in Q3 2026 already exceeds the total for 2025.
- Anthropic’s annualized run rate hit $65 billion by July 2026, a sevenfold increase from 2025.
- Oracle shares rose 7% following the news, reflecting its deep cloud infrastructure ties to OpenAI.
- Microsoft recorded $24.1 billion in fiscal-year 2026 revenue from its commercial arrangements with OpenAI.
Background
In August 2026, OpenAI reported an annualized run rate of $40 billion, with enterprise revenue up 50% quarter-to-date. The company had also filed confidentially with the SEC in June, aiming for a 2027 IPO. Anthropic, its main rival, had reported a $65 billion run rate by July 2026, signaling intense competition in the generative AI sector.
How outlets are covering it
Axios and Investing.com both confirm the $70 billion figure, citing recent financial data. However, Axios notes a lack of visibility into OpenAI’s expense base, leaving profitability unclear. Investing.com emphasizes the market reaction, highlighting Oracle’s 7% jump and Microsoft’s $24.1 billion revenue from OpenAI as key indicators of the AI arms race. Both outlets agree that the upcoming IPOs for Anthropic and potentially OpenAI will provide critical benchmarks for public investors.
Why it matters
The rapid revenue growth of OpenAI and Anthropic signals a massive commercial expansion in the AI sector. As these private companies approach public listings, their financial performance will validate the historic infrastructure spending by big-tech partners like Microsoft and Oracle. This could influence investor sentiment across the semiconductor and cloud computing sectors, potentially affecting valuations for years to come.
What to watch
Investors are awaiting the Anthropic IPO, which will establish the first definitive public-market valuation for a generative AI pure-play. An OpenAI IPO, though not yet dated, would force the disclosure of audited revenue and expense figures, resolving current uncertainties about its margins. The next few months will likely see increased scrutiny of Oracle and Microsoft as proxies for these private AI giants.
- OpenAI's annualized revenue nearing $70 billion: report Yahoo Finance
- Scoop: OpenAI's annual recurring revenue nears $70B Axios
- OpenAI’s Annualized Revenue Nears $70 Billion, Axios Says Bloomberg.com
- OpenAI revenue run rate nears $70 billion as AI IPO race heats up Investing.com
- OpenAI's annualized recurring revenue nears $70 billion, source says Reuters
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