OpenAI is reportedly trying to raise $100B at an $830B valuation

OpenAI is reportedly negotiating a massive funding round aiming to raise as much as $100 billion, which would value the company at approximately $830 billion, according to sources cited by the Wall Street Journal. The company intends to close this round by the end of the first quarter next year, potentially seeking investments from sovereign wealth funds. This significant capital injection is necessary as OpenAI commits to spending trillions on AI development globally to maintain its competitive edge against rivals like Anthropic and Google, especially given rising inferencing costs that exceed cloud credit subsidies. The move comes amid cooling investor sentiment regarding the sustainability of debt-fueled AI investment and ongoing chip supply constraints, even as OpenAI is rumored to be generating $20 billion in annual run-rate revenue and considering an IPO.

(Source：TechCrunch)