OpenAI expects to spend nearly $280 billion by the end of 2030. According to the Financial Times on September 18, citing a recent presentation, the company forecasts a negative free cash flow of $278 billion from this year to 2030. Meanwhile, revenues are expected to grow almost tenfold—from $36 billion this year to $350 billion by 2030. In total, OpenAI anticipates revenue of $840 billion from now until the end of 2030.
The company plans to spend about $856 billion on computing power and infrastructure by the end of 2030—its largest expense. In March, OpenAI raised $122 billion and, according to the presentation's forecasts, will exhaust these funds by 2028.
Currently, the company is negotiating a new round of funding: investors have approached OpenAI themselves to discuss investments at a valuation of $1.2 trillion. A source close to the company told FT that OpenAI is seeking an even higher valuation. Many of these investors have already invested tens of billions of dollars in the company, and now OpenAI is asking them to trust its spending plans. The ability to meet large-scale funding needs is critical for a series of financial agreements and deals to secure computing power. Major tech groups, including Nvidia, heavily rely on contracts with OpenAI for revenue.
OpenAI CEO Sam Altman stated earlier this month that the company is unlikely to go public before 2027, calling a listing "imprudent" amid growing concerns about AI safety.
In a column last week, PYMNTS CEO Karen Webster noted that warnings about the dangers of AI do not match the behavior of these companies. "The gap between what these companies say and what they do is the most useful indicator in this entire discussion," she wrote. "Either the headlines are exaggerated, or the plan is far from matching the scale of the problem. Neither is a reason to give leaders a slower race, and neither is a reason to write rules in panic."
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