OpenAI Aims for a $150 Billion Valuation

Published On Sep 12, 2024, 8:04 AM

OpenAI is in negotiations to raise $6.5 billion at a valuation of approximately $150 billion, significantly higher than their previous goal of $1 billion at a $100 billion valuation. This surge in interest highlights investor confidence in the potential of artificial intelligence, despite the industry facing some challenges. Notable investors in this round could include Thrive Capital, Microsoft, Apple, and Nvidia. OpenAI reportedly needs funding as it is burning through $7 billion annually on research and development. The potential for public offerings and restructuring into a fully for-profit entity may arise as funding discussions progress.