OpenAI to file confidential IPO after Musk verdict

OpenAI is preparing a confidential S-1 registration with Goldman Sachs and Morgan Stanley and could submit the filing as soon as this Friday, according to people familiar with the matter.

A U.S. jury on May 18, 2026, unanimously rejected Elon Musk’s lawsuit against OpenAI, finding the claim was filed too late under California’s statute of limitations. The verdict dismissed the timing-based allegation that OpenAI had strayed from commitments tied to its original nonprofit status. Elon Musk plans to appeal the decision.

The company has accelerated a timetable that earlier pointed to a potential fourth-quarter listing. A confidential S-1 allows the Securities and Exchange Commission to review the filing before it is made public, which can speed the process and give the company flexibility on timing.

OpenAI completed a private funding round in March 2026 that raised $122 billion at an $852 billion post‑money valuation. The company reports revenue above a $2 billion monthly run rate, driven mainly by enterprise customers.

Market analysts project a public debut could value OpenAI at $1 trillion or more. Forecasts from market participants estimate between $100 billion and $240 billion of institutional capital could target AI-related public offerings this year.

Because cryptocurrencies have recently shown correlation with Nasdaq and broader technology sentiment, a large flow of funds into major AI listings could tighten liquidity for other risk assets and affect crypto prices in the near term.

Investors will focus on the filing’s details, including share structure, governance provisions and capital allocation following OpenAI’s transition from its previous nonprofit ties. Observers will also watch the registration’s pricing range and the timing of other large technology and AI listings.

While the jury verdict reduces an immediate legal uncertainty that had been flagged by regulators and investors, further legal proceedings from the appeal process are expected to continue.