OpenAI said Monday that its ChatGPT advertising business has reached a $1 billion annualized revenue run rate, roughly 200 days after launch. The company framed the milestone as evidence of a diversified business model ahead of an expected IPO.

OPENAI ADS HIT $1B ANNUALIZED REVENUE OpenAI says its ad business reached the milestone roughly 200 days after launch. ChatGPT Ads are now available in 40+ countries, with self-service buying expanding today across India, Europe, the Middle East and North Africa. Ads currently… pic.twitter.com/QLhDgSTLyY — Wall St Engine (@wallstengine) August 31, 2026 (x.com/wallstengine/status/2094411679916278131)

The advertising unit sits alongside OpenAI's other revenue streams, which include enterprise contracts, consumer subscriptions, and usage-based APIs. OpenAI first began testing ads inside ChatGPT in the United States in February. The move drew the attention of rival Anthropic, which made OpenAI's advertising push the subject of its first-ever Super Bowl campaign. The push also places OpenAI in more direct competition with established search and social ad platforms such as Google and Meta, which have long dominated digital advertising budgets, making measurement tools and advertiser trust a key factor in whether ChatGPT can capture meaningful share of that spending.

ChatGPT Ads Now in Over 40 Countries

ChatGPT ads are now available in more than 40 countries. On Monday, OpenAI opened its self-serve ad platform to marketers in India, Europe, the Middle East, and North Africa.

OpenAI launched ads in India last week, one of ChatGPT's largest markets. Fifty brands participated at the rollout, with agency partnerships including WPP and Omnicom. A self-serve ad manager for Indian marketers opens September 4, with a daily minimum budget of roughly $7.60. The low entry price and involvement of major holding companies like WPP and Omnicom signal OpenAI's effort to court both small businesses and large advertisers used to buying media through agencies.

Ads appear for users on the free tier and the Go subscription plan. OpenAI said the ads are clearly labeled and do not affect how ChatGPT generates answers, and advertisers cannot see users' private conversations.

The company introduced cost-per-click pricing earlier this year, adding a billing option that charges advertisers only when a user clicks, alongside the original cost-per-thousand-impressions model. OpenAI also removed a $50,000 minimum spend requirement when it opened its self-serve Ads Manager to all U.S. businesses.

Revenue Targets and IPO Plans

OpenAI is targeting $2.5 billion in advertising revenue for the current year. The company is also tracking toward total annualized revenue exceeding $40 billion, roughly double its run rate at the end of 2025.

For the second quarter of 2026, OpenAI reported $6.7 billion in revenue, up from $5.7 billion in the prior quarter. The company posted a net loss of $38.5 billion in 2025 on $13.07 billion in revenue. Against that loss, advertising offers a revenue stream that scales with ChatGPT's already-massive user base rather than requiring new subscriptions or enterprise deals.

OpenAI is currently working toward a planned 2027 IPO and faces pressure to justify its $852 billion valuation to investors. How quickly the ads business converts a $1 billion run rate into the $2.5 billion annual target will be one indicator for public-market investors assessing that valuation.

Looking ahead, OpenAI said its next phase will bring ads to more markets and introduce new formats, buying options, and measurement tools. The company also said it plans to explore new ways for businesses to connect with users inside ChatGPT.

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