How To Buy OpenAI Stock?

Govind Dheda

OpenAI is a company that offers the Artificial General Intelligence (AGI) based model, including the GPT model, which promotes friendly artificial intelligence. The company was founded in 2015 by well-known tech figures such as Elon Musk, Sam Altman, and Ilya Sutskever, among others. These founders were early investors in the company, OpenAI also received major investments from high-profile investors like Microsoft and Peter Thiel’s Founders Fund.

How to Purchase OpenAI Stocks

OpenAI is not yet a publicly traded company and does not have a stock symbol. There is no single organization that holds ownership of OpenAI, although the company has stated that its employees and investors have equal ownership. However, the ownership structure has not been made public, so buying OpenAI stocks is not possible at this time.

It is common for companies to remain private if they do not need to raise capital. This allows them to focus on business development without the public pressure of a stock market listing. However, there are still ways to invest in the future of AI indirectly. For example, Microsoft made a multi-year billion-dollar strategic investment in OpenAI.

Since OpenAI is still in the early stages of development, there is a lot of uncertainty about its future. This can lead to volatility in the stock prices of companies involved in the AI sector. As of July 13, OpenAI is not listed on any stock market exchange and there is no brokerage or trading platform where OpenAI stocks are available.

How to Invest in OpenAI Stocks

OpenAI is not a public company, so it’s not possible to buy its stocks directly. However, there are a few ways to gain exposure to the company and the AI sector.

  • Invest in OpenAI’s investors: You can buy Microsoft stocks since Microsoft is one of the largest investors in OpenAI. Apart from Microsoft, other companies that invest in OpenAI include Peter Thiel’s founder fund and Andreessen Horowitz. Some of the popular investment choices in Q2 2023 regarding market capitalization are: 
  • Microsoft (MSFT) – $2.52 trillion
  • C3.ai (AI) – $4.39 billion
  • Alphabet (GOOG) – $1.51 trillion
  • Nvidia (NVDA) – $1.03 trillion
  • Upstart (UPST) – $2.98 billion
  • Invest in Pre-IPO markets: There are a few Pre-IPO marketplaces like ForgeGlobal and EquityZen that allow anyone to buy shares as long as they meet the criteria, such as being a high-net-worth or accredited investor in private companies, including offering shares in OpenAI. It’s important to note that investing in Pre-IPO markets includes significant risks compared to publicly traded companies but can also be rewarding.

Note: This article does not include financial advice. Investing in Pre-IPO markets or even if OpenAI goes public involves significant risks, and there is no guarantee. OpenAI Master will not be responsible for anything, so please conduct your research and understand the risks involved.

When investing in the Pre-IPO of OpenAI, it is important to consider certain concerns about the company:

  • Competition: OpenAI is still early in AI commercial products and may face significant competition from large companies like Google shortly.
  • Controversy: There is mixed reception on AI development, and some prominent figures are waiting for regulatory environments before investing in AI.
  • Financing: OpenAI is burning a lot of cash and has a unique capped for-profit subsidiary, which may pose challenges if the company goes public.
  • Market Environment: Currently, the market is trending away from growth tech companies, but it is difficult to predict how things will change in the future.

It is important to keep an eye on OpenAI’s plans, as the company is evolving and many things could change, including ownership structure. However, the company does have a unique capped profile that drives the safety commitment toward developing AGI.

To invest in OpenAI indirectly, you can buy its competitors such as Google, which has recently revealed the Bard AI Chatbot. You can also invest in some of OpenAI’s competitors like Amazon, Meta, and hardware companies such as Nvidia and IBM, which aim to contribute to or dominate the AI space. Hardware companies are also specializing in their chips to run OpenAI more effectively and efficiently.

OpenAI’s VC Firms

OpenAI has raised a total of $11.3 billion in funding over 7 rounds, including a recently raised unknown round on April 28, 2023. The company has access to hundreds of private, venture-backed startups before they go public and is ranked as one of the three AI Labs on the planet.

DATEINVESTORSAMOUNTROUND
Aug 12, 2013Elon Musk, Greg Brockman, Reid Hoffman, Jessica Livingston, Peter Thiel, Amazon Web Services, Infosys, Sam AltmanN/AUnverified
August 2016Y Combinator$120kSeed
March 2019Khosla VenturesN/ASeed
July 2019Microsoft, Khosla Ventures$1.0bLate VC
Jan 2021Tiger Global, Andreessen Horowitz, BedrockN/ASecondary
Jan 2022Matthew Brown CompaniesN/ASecondary
Jan 2023Microsoft$10 billionLate VC

In addition, OpenAI has received investments from various venture capital firms, including Microsoft, Khosla Ventures, Reid Hoffman, Sequoia Capital, Andreessen Horowitz, Thrive, K2 Global, Founders Fund, and Tiger Global Management. However, there is currently no indication that OpenAI plans to go public, and recent comments from Microsoft suggest that they do not have an immediate need for additional operating cash.

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