← Front page

Prof G Markets · Friday, July 10, 2026

OpenAI Faces Financial Strain, IPO Delayed Amidst High Burn Rate

Sebastian Mallaby expressed concern over OpenAI's financial sustainability, citing a high burn rate and the company's struggle to monetize its products effectively. He predicts a significant chance of the company either going bankrupt or being acquired.

personSebastian MallabypersonSam AltmancompanyOpenAI

The tape

3 quotes
My bet is that over the next 18 months, OpenAI runs out of money.
Sebastian Mallaby
So the burn seemed to me to be totally unsustainable.
Sebastian Mallaby
And this news that you pointed out just recently, that they have delayed their IPO into next year, is just the latest icing on the cake.
Sebastian Mallaby
Heard on Prof G Markets — “This Is How OpenAI Goes Broke — ft. Sebastian Mallaby, published Friday, July 10, 2026. Heardvine summarizes and quotes with attribution and timestamps, and links to the original everywhere.
Transcribed via Gemini audio transcription · $0.06
OpenAI Faces Financial Strain, IPO Delayed Amidst High Burn Rate — Heardvine