OpenAI CFO Sarah Friar told employees that the company’s annualized recurring revenue in July surpassed the figures for the entire second quarter, CNBC reported on Wednesday.
Friar made the announcement during an internal meeting on Wednesday alongside Board Chair Bret Taylor. “And the second quarter was by no means weak,” Friar said, according to a partial transcript reviewed by CNBC.
Executives attributed the growth to the release of the GPT-5.6 model series and the new enterprise agent ChatGPT Work, as well as increased usage of Codex, the company’s AI-powered coding tool.
OpenAI is racing to justify a valuation exceeding $800 billion amidst rising competition from Anthropic and Google, as well as low-cost, open-weight models from China. In early July, the Chinese company Moonshot AI released Kimi K3, which the developers claim outperforms top models from OpenAI and Anthropic across a range of benchmarks.
The company is expected to file for a long-awaited initial public offering (IPO) in the coming quarters.
About the Author
