OpenAI estimates $11 billion in revenue amid Musk's bid

On February 20, 2025, in the United States, OpenAI's Chief Financial Officer, Sarah Friar, discussed the company's significant growth potential during an interview. She indicated that the company could potentially achieve $11 billion in revenue, attracting considerable investor interest amid ongoing discussions of a $40 billion investment from SoftBank, which would value OpenAI close to $300 billion. The firm has faced a variety of challenges, including projected losses of $5 billion for 2024 while still generating $3.7 billion in revenue. Despite financial difficulties, Friar expressed confidence in OpenAI's innovative capabilities, emphasizing that the company is not becoming a commodity due to its rapid pace of advancement. The firm has reportedly surpassed 400 million users, which highlights its substantial impact on the market for AI services. The conversation between Friar and CNBC's David Faber also touched upon a takeover bid made by co-founder Elon Musk, which was rejected for over $97 billion earlier this month. Musk's legal challenges against OpenAI further complicate matters, as he is suing the startup for breach of contract related to its transition into a for-profit entity. Throughout the interview, Friar focused on strategizing for future growth and downplayed the distractions posed by Musk's lawsuit and takeover attempts. She underscored OpenAI's commitment to its mission to improve user experiences in search and research processes. As the competition in the AI industry intensifies, OpenAI’s strategic moves to secure funding and maintain its innovative edge may be crucial in ensuring its long-term viability. Analysts will be watching closely how the company navigates this landscape, particularly with its public offering potential looming on the horizon. The developments signal a crucial period for OpenAI as it balances funding opportunities against the backdrop of legal and competitive pressures. It remains to be seen how these factors will influence the company’s trajectory and whether it will successfully capitalize on its growth potential while managing financial losses and external challenges.