OpenAI has delayed its IPO to 2027, a timeline that would potentially see it go public after its AI rival Anthropic.
The ChatGPT maker’s leadership expects Anthropic to go public first, Bloomberg News reported, even though both companies have already filed confidentially with the US Securities and Exchange Commission.
OpenAI had been targeting a fall listing, and Anthropic is considering an IPO as early as October, Bloomberg News has reported.
Recent volatility in tech stocks has influenced OpenAI’s potential timing, the report said.
Deliberations are ongoing, and details of OpenAI’s IPO plans could change, the report said. The New York Times first reported the expected IPO timing.
Google is making an ambitious play for a major stake in chips that power AI, using Nvidia’s playbook.
Google has been demonstrating how it can use Nvidia’s playbook to win customers by hosting an AI data center cluster called Lake Mariner.
Alphabet-owned Google has provided a $3.2 billion financial guarantee for the project, whose developers will rent the computing power from thousands of its microprocessors to the AI giant Anthropic, according to people familiar with the matter.
It is the same strategy Nvidia has used time and again to stoke already-blazing demand for its own artificial-intelligence chips.
Until recently, Nvidia had that market all but to itself, with its graphics processing units (GPUs) coveted by tech companies for their power to train and run AI models.
As the AI race has morphed over the past year into a contest for computing resources, challengers have begun to edge in—none of them more formidable than Google.
“You have all these very well-capitalized companies who are big believers that this market around compute is going to have tremendous value,” said Nazar Khan, Co-Founder and Chief Technology Officer of the AI infrastructure company TeraWulf, which is developing Lake Mariner with FluidStack, a Google-backed cloud provider, to WSJ. “They want to be in the game; they don’t want to be left behind.”
Anthropic said it is disabling all customer access to its Fable 5 and Mythos 5 AI models to comply with a Trump administration directive.
“The US government, citing national security authorities, has issued an export control directive to suspend all access to Fable 5 and Mythos 5 by any foreign national, whether inside or outside the United States, including foreign national Anthropic employees,” the company said in a statement.
Anthropic added that to ensure compliance, “the net effect” of the order meant it had to “abruptly disable” access for all customers, including in the US. Other models will not be affected.
The directive, which Anthropic said it received at 5:21 pm Friday, marks the most significant action yet by the Trump administration to place restrictions on cutting-edge models.
That’s despite earlier statements, including in an executive order, that the US would not be imposing a licensing regime for model reviews. A US official confirmed the Commerce Department sent the letter.
Supermicro Computer stock fell by 18% on Wednesday after it announced plans to raise $7 billion to complete AI server orders.
Supermicro said the capital, which will be raised through a combination of equity and equity-linked financing, will be used to purchase components to fulfill roughly $39 billion in AI server orders it received in recent weeks.
The fear is that component prices are increasing, and server suppliers like Supermicro won’t be able to pass those higher costs to customers. The result will be lower gross margins. The stock offering will also dilute existing shareholders.
Shares of Supermicro extended declines from Tuesday, when the stock dropped 12%. Year to date, the stock is still up 14% amid a boom in AI server demand.
Bank of America is saying that several “bear market signposts” are signaling that investors should take profits now before a pullback.
Seven of the bank’s 10 bear market indicators have been triggered in recent months, Strategists led by Savita Subramanian wrote in a recent client note. Five were triggered by April, and two more of those indicators flashed red in May.
The bank’s “signposts” cover a wide range of market data, including consumer confidence, stock performance expectations, credit stress levels, and credit tightening conditions.
The ChatGPT maker’s leadership expects Anthropic to go public first, Bloomberg News reported, even though both companies have already filed confidentially with the US Securities and Exchange Commission.
OpenAI had been targeting a fall listing, and Anthropic is considering an IPO as early as October, Bloomberg News has reported.
Recent volatility in tech stocks has influenced OpenAI’s potential timing, the report said.
Deliberations are ongoing, and details of OpenAI’s IPO plans could change, the report said. The New York Times first reported the expected IPO timing.