OpenAI is reportedly in talks to raise up to $100 billion in a funding round that could value the ChatGPT maker at as much as $830 billion, according to The Wall Street Journal, citing anonymous sources.
OpenAI Looks to Raise $100B, Could Reach $830B Valuation
The company aims to complete the funding by the end of the first quarter next year and may invite sovereign wealth funds to invest. Earlier reports suggested the valuation could be around $750 billion.
The new funds would support OpenAI’s massive spending on AI research and global deals, helping the company stay ahead in the race to develop cutting-edge AI technology. The money would also cover growing computing costs, which appear to exceed what partnerships and cloud credits can currently support.
Competition is heating up from rivals like Anthropic and Google, prompting OpenAI to accelerate new model releases and expand its developer and tooling ecosystem.
However, investor sentiment around AI has cooled recently, with some questioning whether debt-fueled investments from major players like Amazon, Microsoft, Oracle, and OpenAI itself can continue. Chip shortages, especially in memory supply, are also adding pressure on the tech sector.
There are rumors OpenAI might pursue an IPO to raise tens of billions more, and the company is reportedly discussing a possible $10 billion investment from Amazon, which could also provide access to the tech giant’s new AI computing chips.
If successful, the funding would significantly boost OpenAI’s resources, which currently exceed $64 billion. The company was last valued at about $500 billion in a secondary transaction. OpenAI did not immediately respond to requests for comment.
