OpenAI Seeks To Raise $6.5 Billion With $150 Billion Valuation

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Reports indicate that Microsoft plans to increase its investment in artificial intelligence partner OpenAI. A recent article from Bloomberg, citing unnamed sources, reveals that OpenAI is currently seeking to raise $6.5 billion from investors. If successful, this funding could elevate the company’s valuation to an astounding $150 billion.

The report mentions that this new valuation does not include funds that OpenAI is actively working to secure. Thrive Capital is expected to lead the new funding round, with Microsoft also contributing an undisclosed amount. Additionally, the report suggests that Apple and NVIDIA may be among those looking to partake in this new influx of equity.

OpenAI is reportedly in discussions to raise an additional $5 billion in debt from banks to establish a revolving credit mechanism, although these figures have not been verified by OpenAI. The report warns that the exact amount of this funding could change as negotiations progress.

OpenAI’s ChatGPT remains one of the leading forces in the generative AI technology sector. At the end of August, the company announced that weekly user numbers for its generative AI chatbot had surged to 200 million, doubling from 100 million a year prior.

Following the launch of its latest AI model, ChatGPT-4o, in May, there are unconfirmed reports suggesting that OpenAI may soon unveil the next iteration of its model. According to The Information, the new model, internally codenamed “Strawberry,” could be introduced later this month. This model is expected to feature enhanced mathematical equation-solving capabilities, improved coding solutions, and novel marketing strategies. It may also adopt a paid subscription approach, diverging from the free access previously offered with earlier versions of ChatGPT.