OpenAI Attains Unprecedented $40 Billion Funding
SoftBank spearheads an investment round that values OpenAI at $300 billion, as the organization aims to enhance its AI research and infrastructure.
OpenAI, the creator of ChatGPT, has successfully concluded a $40 billion funding round, marking the largest sum ever amassed by a private technology firm.
This new funding raises OpenAI's valuation to $300 billion, nearly three times the previous high for a private tech company.
SoftBank spearheaded the investment round with a $30 billion contribution, alongside other investors such as Microsoft, Coatue, Altimeter, and Thrive.
The capital will be utilized to 'further expand the frontiers of AI research' and enhance OpenAI's computing infrastructure.
Roughly $18 billion of the funding is designated for the Stargate project, a collaboration among SoftBank, OpenAI, and Oracle.
The investment is subject to stipulations, including a mandate that OpenAI transition to a for-profit entity by December 31, 2025, or risk having SoftBank's investment reduced to $20 billion.
OpenAI intends to leverage the new funding to fuel growth, having reported that ChatGPT now boasts over 500 million users, an increase of 100 million from the prior month.
The company also anticipates its revenue will triple to $12.7 billion by year-end.
This new funding raises OpenAI's valuation to $300 billion, nearly three times the previous high for a private tech company.
SoftBank spearheaded the investment round with a $30 billion contribution, alongside other investors such as Microsoft, Coatue, Altimeter, and Thrive.
The capital will be utilized to 'further expand the frontiers of AI research' and enhance OpenAI's computing infrastructure.
Roughly $18 billion of the funding is designated for the Stargate project, a collaboration among SoftBank, OpenAI, and Oracle.
The investment is subject to stipulations, including a mandate that OpenAI transition to a for-profit entity by December 31, 2025, or risk having SoftBank's investment reduced to $20 billion.
OpenAI intends to leverage the new funding to fuel growth, having reported that ChatGPT now boasts over 500 million users, an increase of 100 million from the prior month.
The company also anticipates its revenue will triple to $12.7 billion by year-end.
