Thursday, May 29, 2025

Latest

OpenAI Seeks Record $40 Billion Investment at $300 Billion Valuation

OpenAI is in early discussions to raise up to $40 billion in funding that would value the ChatGPT maker at $300 billion, including the new investment. The valuation would nearly double the $157 billion the company commanded in October.

SoftBank Group (TYO: 9984) plans to lead the round with a potential investment of $15-25 billion, with the Japanese company helping recruit additional investors to complete the funding, according to a person familiar with the matter in an exclusive report from the Wall Street Journal

The source noted that the discussions are still ongoing and could still fall through.

The proposed funding would mark Silicon Valley’s largest-ever fundraising, according to PitchBook data, and make OpenAI the second most valuable startup globally, behind only SpaceX.

The fundraising push comes as Chinese startup DeepSeek shocked markets with AI models it claims to have developed at a fraction of US competitors’ costs. DeepSeek’s success has led investors to question the heavy spending by OpenAI and other American AI firms.

The potential investment would help finance OpenAI’s $18 billion commitment to Stargate, a joint venture with SoftBank and others to build US data centers. The funds would also support ongoing operations at the AI company, which expected to lose about $5 billion last year on $3.7 billion in revenue, with projected revenue growth to $11.6 billion this year.

If the investment pushes through, it would be SoftBank’s third major commitment to OpenAI in recent months, following its $500 million October investment and subsequent $1.5 billion employee share purchase offer.


Information for this story was found via the sources and companies mentioned. The author has no securities or affiliations related to the organizations discussed. Not a recommendation to buy or sell. Always do additional research and consult a professional before purchasing a security. The author holds no licenses.

Leave a Reply

Video Articles

How To Profit From $3300 Gold? An Inside Look At A Massive 300,000 Oz Project | Martino De Ciccio

We’re At The Start of a Great Silver Boom | Ross McElroy & Andy Bowering – Apollo Silver Corp

Equinox Gold Q1 Earnings: When Everything Goes Wrong

Recommended

Sterling Metals Hits 0.21% Copper Over 482.8 Metres In First Drilling At Soo Copper project

First Majestic Makes Second Major Discovery At Santa Elena In Just A Year

Related News

SoftBank’s Nvidia Blunder: A $150B Missed Opportunity

SoftBank‘s (TYO: 9984) decision to sell its entire stake in Nvidia (Nasdaq: NVDA) back in...

Thursday, June 20, 2024, 12:12:00 PM

Microsoft Partners with OpenAI for ChatGPT-Powered Version of Bing

Microsoft Corp (NASDAQ: MSFT) is stepping up to challenge Alphabet’s (NASDAQ: GOOGL) Google. The company...

Wednesday, January 4, 2023, 07:20:00 AM

Was There A Resignation Spree From OpenAI Employees?

Ilya Sutskever, one of the co-founders of OpenAI and a leading figure in the artificial...

Friday, May 17, 2024, 03:47:00 PM

Microsoft, OpenAI Reportedly Plans $100-Billion Supercomputer Fueled by Nuclear Power

Microsoft (NASDAQ: MSFT) is reportedly gearing up to construct a colossal $100 billion data center,...

Thursday, May 9, 2024, 01:10:00 PM

OpenAI Doesn’t Expect to Be Profitable Until 2029

OpenAI‘s backers are a long-ish way from making money. Recent financial projections indicate the AI...

Thursday, October 10, 2024, 01:23:00 PM