Open AI Initial talks are underway to raise a new round of funding at a valuation of $100 billion or more, people with knowledge of the matter said, a deal that would give the ChatGPT maker all over the world. will consolidate as one of the valuable startups from
Potential investors involved in the fundraising round have been included in early discussions, according to the people, who asked not to be identified to discuss private matters. Details such as the terms, price and timing of the funding round have not yet been finalized and are still subject to change, the people said.
If the funding round goes as planned, it will make artificial intelligence the second most valuable startup in America. behind Only Elon Musk’s Space Exploration Technologies CorporationAccording to Data from CBIsights.
OpenAI declined to comment.
The company is scheduled to complete a separate tender offer in early January, which would give employees the opportunity to sell their shares at a price of $86 billion. Bloomberg previously reported.. Which is being led. Thrive capital And investors saw more demand than supply, people familiar with the matter said.
OpenAI’s rocketing valuation mirrors this AI frenzy. one year ago After releasing ChatGPT, a chatbot capable of writing wonderfully human sentences and even poetry in response to simple gestures. The company became Silicon Valley’s most famous startup. An increase of $13 billion From till date Microsoft Corp.and spurred a new appreciation for the promise of AI that changed the tech industry landscape in a matter of months.
Amazon.com Inc. And Alphabet Inc is since Put billions In OpenAI Competitors Bushra. Salesforce Inc. I led the investment. A huggable face which was valued at $4.5 billion, and Nvidia Corp.which makes many of the semiconductors that power AI tasks, he said earlier this month. Over two dozen investments In 2023
OpenAI is also in talks to raise funds for a new chip venture based in Abu Dhabi. G 42According to people familiar with the matter.
The startup has discussed raising between $8 billion and $10 billion from G42, said one of the people, all of whom requested anonymity to discuss confidential information. It’s unclear whether the chips are related to the venture and the broader company’s funding efforts.
Sam Altman, chief executive officer of OpenAI, was looking for capital for the chip project. Code Name Tigers. It aims to develop semiconductors that can compete with Nvidia, which currently dominates the AI chip market, Bloomberg News reported. reported last month.
In October, the G42 announced a partnership with OpenAI to “provide cutting-edge AI solutions to the UAE and regional markets.” No financial details were provided. Founded in 2018, the firm is led by Sheikh Tahnoon bin Zayed Al Nahyan, UAE National Security Adviser and Chief. Abu Dhabi Investment Authority.
OpenAI’s future briefly looked uncertain when its board abruptly fired Altman early last month. At the time, some investors considered writing their stakes down to zero. But after five days of leadership turmoil, Altman was brought back and a new board was named. The purpose of the company is Signal to customers That it is refocusing on its products after the upheaval.
– With help from Hannah Miller
Credit : fortune.com
