OpenAI is reportedly in discussions to secure new funding that could value the company at over $100 billion, according to Bloomberg News sources familiar with the matter. Although the terms and timing of the funding round are yet to be finalized, OpenAI has also explored raising funds for a chip venture in partnership with Abu Dhabi-based G42. While it remains unclear if the chip venture is connected to the wider funding efforts, sources suggest that OpenAI has considered raising between $8 billion and $10 billion from G42.
Earlier in January, OpenAI is set to wrap up a separate tender offer led by Thrive Capital, which would grant employees the opportunity to sell their shares at a valuation of $86 billion.
Microsoft has already committed to investing over $10 billion in OpenAI. The collaboration between the two tech giants gained significant attention in November 2022 when OpenAI released ChatGPT, a generative artificial intelligence model that has since transformed the landscape of AI technology. Microsoft declined to comment on the matter when approached by Reuters, while OpenAI did not respond to a request for comment.
The launch of ChatGPT, an advanced chatbot capable of generating human-like responses based on user prompts, has sparked a surge in OpenAI’s valuation and increased the popularity of AI technology. Previously, OpenAI raised $300 million through a share sale with a valuation of $30 billion.
In late November, OpenAI made headlines after CEO Sam Altman was abruptly ousted from his position without detailed cause, causing concern among investors and employees. Altman was reinstated just four days later when it was promised that a new board would be established.
By securing additional funding, OpenAI aims to strengthen its position in the rapidly expanding AI sector. The company’s ambitions extend beyond ChatGPT, with plans to delve into chip development and other ventures. However, the specifics of these endeavors are yet to be disclosed.
With Microsoft’s substantial investment and the possibility of more funding on the horizon, OpenAI seems determined to remain at the forefront of AI innovation. As the company continues to explore new opportunities and push the boundaries of artificial intelligence, the industry eagerly anticipates its next move.
Please note that this article has been generated using OpenAI’s GPT-3 model.
