OpenAI incurred a $38.53 billion net loss in 2025, according to audited financial documents reviewed by Ed Zitron and independently verified by the Financial Times. The company generated $13.07 billion in revenue for the year, while total costs and expenses reached $34 billion. These figures highlight the significant capital expenditure required for frontier-model development, with $19.18 billion allocated to research and development and $7.5 billion marked as cost of revenue. The net loss figure includes a $41.55 billion charge related to fair value adjustments for convertible interests and warrant liabilities, while the core loss from operations stood at $20.92 billion, expanding from an $8.78 billion operating loss in 2024.

The financial disclosures reveal the extent of OpenAI's reliance on its partnership with Microsoft. OpenAI paid Microsoft $17.2 billion in 2025 across various expense categories, including $10.59 billion for research and development and $6.047 billion for cost of revenue. As of the end of 2025, OpenAI held $3.64 billion in liabilities to the software giant, which currently maintains a roughly 27% stake in OpenAI Group. These expenditures reflect a strategy centered on high-intensity compute investment and aggressive infrastructure expansion to maintain product development momentum.

OpenAI is currently preparing for a potential transition to public markets, having confidentially submitted a draft S-1 filing to the SEC on June 8. CEO Sam Altman (Sam Altman) has pursued a strategy of rapid scaling, supported by $122 billion in committed capital raised by March 2026 at an $852 billion post-money valuation. While OpenAI reports having over 900 million weekly active users and 50 million subscribers, the leaked documents indicate that the company's operating costs continue to grow at a faster pace than revenue. This financial data underscores the challenge of achieving long-term operating leverage for an organization operating at this infrastructure-heavy scale.

OpenAI incurred a $38.53 billion net loss in 2025, according to audited financial documents reviewed by Ed Zitron and independently verified by the Financial Times. The company generated $13.07 billion in revenue for the year, while total costs and expenses reached $34 billion. These figures highlight the significant capital expenditure required for frontier-model development, with $19.18 billion allocated to research and development and $7.5 billion marked as cost of revenue. The net loss figure includes a $41.55 billion charge related to fair value adjustments for convertible interests and warrant liabilities, while the core loss from operations stood at $20.92 billion, expanding from an $8.78 billion operating loss in 2024.

The financial disclosures reveal the extent of OpenAI's reliance on its partnership with Microsoft. OpenAI paid Microsoft $17.2 billion in 2025 across various expense categories, including $10.59 billion for research and development and $6.047 billion for cost of revenue. As of the end of 2025, OpenAI held $3.64 billion in liabilities to the software giant, which currently maintains a roughly 27% stake in OpenAI Group. These expenditures reflect a strategy centered on high-intensity compute investment and aggressive infrastructure expansion to maintain product development momentum.

OpenAI is currently preparing for a potential transition to public markets, having confidentially submitted a draft S-1 filing to the SEC on June 8. CEO Sam Altman (Sam Altman) has pursued a strategy of rapid scaling, supported by $122 billion in committed capital raised by March 2026 at an $852 billion post-money valuation. While OpenAI reports having over 900 million weekly active users and 50 million subscribers, the leaked documents indicate that the company's operating costs continue to grow at a faster pace than revenue. This financial data underscores the challenge of achieving long-term operating leverage for an organization operating at this infrastructure-heavy scale.