OpenAI Achieves $500 Billion Valuation, Surpassing SpaceX
OpenAI's valuation skyrockets to $500 billion, marking it the world's largest startup.
- • OpenAI reaches a $500 billion valuation, surpassing SpaceX.
- • $6.6 billion in shares sold to investors including Thrive Capital.
- • Plans for transitioning to a Public Benefit Corporation amid legal challenges from Elon Musk.
- • Revenue rose to approximately $4.3 billion in the first half of 2025.
Key details
OpenAI has reached a significant milestone, now valued at $500 billion following a major secondary share sale involving prominent investors and employees. This valuation leap makes OpenAI the world's most valuable private company, surpassing SpaceX, which is valued at roughly $400 billion. The share sale saw current and former employees sell approximately $6.6 billion worth of shares to a consortium that includes Thrive Capital, SoftBank, and T. Rowe Price, among others.
The surge in valuation reflects OpenAI's rapidly growing revenue and user base. The company reported around $4.3 billion in revenue in the first half of 2025, indicating a 16% increase from the previous year. This financial boost follows a critical shift in the company’s structure as it plans to transition to a Public Benefit Corporation (PBC), which would allow it to attract more diverse investment while maintaining a focus on its original mission.
Elon Musk, one of OpenAI's co-founders, has expressed legal concerns over this transition, arguing that it could violate the non-profit mission of AI development for humanity's benefit. Despite this opposition, OpenAI is poised to attract significant funding, necessary for its ambitious goals in advancing AI technology. In the broader context, the valuation emphasizes the intensified competition among tech firms to secure AI talent and resources, underscoring both the potential and challenges of AI advancements.
Moreover, industry experts highlight that the valuation places OpenAI at the forefront of the digital infrastructure landscape, alongside emerging sectors such as blockchain. The enthusiasm surrounding AI is mirrored in predictions of its applications, with AI agents expected to become major users of stablecoins in the financial markets. However, the ongoing discourse around AI's sustainability and energy consumption remains a pertinent challenge, as leaders in technology advocate for more environmentally responsible practices in AI development.