Exclusive: OpenAI Losses Increased Nearly 8X in 2025, With Spending Hitting $34 Billion

2026-06-16 · Source: Ed Zitron's Where's Your Ed At · Field: Finance & Economics — Corporate Finance & Treasury, Capital Markets & Investment Management · Depth: Fundamental Awareness, short

Summary

Audited financial documents reveal that OpenAI experienced substantial losses, reaching approximately \$38.5 billion in 2025, an almost eightfold increase from its \$5.09 billion net loss in 2024. In 2025, the company generated \$13.07 billion in revenue against \$34 billion in total costs and expenses. This included \$19.18 billion for Research and Development and \$5.73 billion for Sales and Marketing. A significant portion of expenses went to Microsoft, with OpenAI paying \$10.59 billion for R&D services, likely model training, and a total of \$17.2 billion to Microsoft in 2025. The 2025 figures also reflect a \$41.55 billion loss from fair value changes due to its conversion to a for-profit entity. OpenAI received \$867 million from SoftBank and \$303 million from Microsoft in 2025, ending the year with over \$50 billion in assets, nearly half in cash.

Key takeaway

For investors evaluating AI sector sustainability, OpenAI's reported \$38.5 billion loss in 2025 signals significant financial risk and a challenging path to profitability. You should scrutinize the high R&D expenditures, particularly the \$10.59 billion paid to Microsoft for training, as these costs are escalating dramatically. Reassess long-term growth projections for companies with similar business models, considering the substantial capital burn required for advanced AI development.

Key insights

OpenAI's financial documents reveal astronomical and rapidly mounting losses, reaching \$38.5 billion in 2025, driven by massive R&D spending.

Topics

• OpenAI
• Company Losses
• AI Model Training Costs
• Financial Performance
• Microsoft Partnership
• R&D Spending

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Editorial summary, takeaway, and curation by AIssential. Original article published by Ed Zitron's Where's Your Ed At.