OpenAI Targets 70 Billion Revenue as AI Stocks Recover

OpenAI told investors it expects annualized revenue to reach or exceed $70 billion by the end of 2026, driven mainly by enterprise growth, as the artificial intelligence company seeks new funding and investors reassess its financial outlook, according to Bloomberg and CNBC.

The projection was shared during discussions for a fundraising round of about $30 billion or more, with OpenAI seeking a valuation of $1.4 trillion before new capital, according to Bloomberg. The company declined to comment to Bloomberg.

OpenAI's annualized revenue stood at about $50 billion at the end of September, according to people familiar with the matter cited by Bloomberg. The company said its total run rate grew 77% in its third quarter, while enterprise run rate growth reached 107% during the same period, according to Bloomberg.

The updated revenue outlook came after technology shares declined following reports that previous estimates overstated OpenAI's annualized revenue. Nvidia, Oracle, and CoreWeave shares fell Thursday, while the Nasdaq 100 dropped 1.4%, according to Bloomberg and CNBC.

Bloomberg reported that the difference between OpenAI's figures and higher market estimates came from different accounting approaches. Anthropic counts the full gross value of some cloud partner sales, while OpenAI records only its own share from partnerships including Microsoft.

OpenAI is continuing discussions with investors, including funds from the United Arab Emirates such as Abu Dhabi-based MGX, according to Bloomberg. The company previously raised $122 billion in March, valuing OpenAI at $852 billion after the investment was included.

OpenAI CEO Sam Altman has ruled out a 2026 initial public offering, while the company has delayed plans for a market listing until at least next year, according to Bloomberg.

The broader market reaction also included concerns about geopolitical and economic developments. President Donald Trump discussed US policy toward Iran during the period covered by CNBC's market newsletter.

"The two countries were having "productive discussions."" said Donald Trump, President.

Trump had previously indicated a different position before later describing the discussions with Tehran. CNBC reported that oil prices still ended the session higher.

"Making a deal with Tehran was "not really something that I wanted to do."" said Donald Trump, President.

Trump also addressed the status of US measures against Iran during the same remarks reported by CNBC.

"The U.S. naval blockade of Iran's ports would "remain in full force and effect"" said Donald Trump, President.

Delta Air Lines also faced investor attention after missing earnings expectations and lowering its full-year profit outlook, according to CNBC. CEO Ed Bastian discussed consumer demand during an interview with the network.

"We're not seeing any slowdown at all. Our consumer is incredibly resilient," said Ed Bastian, Delta Air Lines CEO.

OpenAI's fundraising discussions come as major AI companies use annualized revenue as a key growth measure, though Bloomberg reported that companies in the sector do not always calculate the metric in the same way.