Plaud AI, a startup specializing in AI-powered note-taking hardware and software, is targeting a US initial public offering in 2028. Co-founder and Chief Executive Officer Nathan Hsu revealed the timeline in an interview, outlining the company's financial milestones leading up to the listing.

Hsu stated that the company will move forward with its IPO process after surpassing $1 billion in annual revenue. For the current year, Plaud AI has set an ambitious global sales target of $500 million, with annual recurring revenue already hitting the $100 million mark. The firm, established in 2022, has amassed a user base of over 2.5 million people across more than 170 countries.

Its flagship product, the Plaud Note, is a device that clips onto smartphones and leverages artificial intelligence to record calls, generate transcriptions, and summarize key content. Hsu explained that the inspiration for the company came from the universal challenge of preserving thoughts and details during everyday conversations, which are often lost or forgotten.

While the firm's valuation surpassed $1 billion by the end of last year, Hsu also confirmed that Plaud AI is currently profitable. The company's largest investor is venture capital firm Vertex Holdings, which is wholly owned by Singapore's sovereign investment company Temasek and manages several international funds under the Vertex brand.

Plaud AI sources its chips from third-party vendors, including Taiwanese semiconductor company Realtek Semiconductor, while its hardware is manufactured in Shenzhen, China. All device design and engineering research and development, however, are handled by its internal team. The company employs roughly 300 staff in China and close to 100 in its San Francisco office, with additional operations established across Europe, Japan, and Southeast Asia.

According to Hsu, the US and European markets combined contribute approximately two-thirds of the company's total revenue. This week marks a significant expansion milestone for Plaud AI as it officially inaugurated its Asia Pacific regional headquarters in Singapore. The local team has grown rapidly from just 10 people to 100 within only nine months.

As the business scales, Hsu emphasized that talent acquisition is the top priority, which in turn shapes the company's acquisition strategy. The focus of any potential deals would be on bringing in specialized technical teams to fill research gaps and accelerate product iteration, rather than merely expanding the user base or product portfolio. While the company has already engaged in discussions with several acquisition targets, no transactions have been completed yet.

Hsu also acknowledged the immense challenges of operating in an era of rapid technological evolution. "This path is not easy. It's full of constant changes and many possible directions. You have to bet that you're picking the right direction for the next 12 months," he remarked.