OpenAI scales back funding target to up to $20 billion
OpenAI has received roughly $11 billion in a first tranche at a $1.25 trillion valuation, after cutting its target to up to $20 billion. The round remains open, with the remaining amount expected in the coming weeks.
IllustrationThe story so far
On Oct. 31, OpenAI lowered its new funding target from up to $30 billion to up to $20 billion, with the Financial Times reporting a $1.25 trillion post-money valuation and a Friday investor deadline. UAE investors and Coatue were leading. The cut followed AI stock weakness and below-estimate capital spending from Microsoft, Alphabet, and Amazon.
On Nov. 2, OpenAI signed UAE deals across energy, investment, and government while seeking the $20 billion round. CEO Sam Altman met Abu Dhabi crown prince Khaled bin Mohamed bin Zayed Al Nahyan. ADNOC, G42, Mubadala, Inception42, and the Abu Dhabi Government signed arrangements to use OpenAI models, including a five-year Inception42 agreement and a government machine-readable policy initiative.
On Nov. 6, reports said OpenAI had raised $11 billion at a $1.25 trillion valuation, with the round not closed and able to reach about $20 billion. On Nov. 7, OpenAI received roughly $11 billion as the first tranche, with the rest expected in the coming weeks. Investors include Coatue, T. Rowe Price, SoftBank, Sequoia, Founders Fund, Andreessen Horowitz, and a United Arab Emirates consortium.
Latest updates
4 updates · newest first- 7 NovNew development
OpenAI receives $11 billion in first tranche at $1.25 trillion valuation
OpenAI has received roughly $11 billion in new funding, the first tranche of a round valuing the company at $1.25 trillion. The full round could grow to $20 billion, with the rest expected in the coming weeks. Investors include Coatue, T. Rowe Price, SoftBank, Sequoia, Founders Fund, Andreessen Horowitz, and a United Arab Emirates consortium. OpenAI had sought $30 billion at a $1.4 trillion valuation but scaled back after an AI-sector selloff.
The Decoder ↗
- 6 NovNew development
OpenAI reportedly raises $11 billion at $1.25 trillion valuation
OpenAI has reportedly raised $11 billion in a new round valuing it at $1.25 trillion. The round has not closed and could reach about $20 billion, below an earlier target of $30 billion. The financing comes as Anthropic's IPO valuation faces pushback and OpenAI plans to go public in 2027.
TechCrunch ↗
SiliconANGLE ↗
The Verge ↗
- 2 NovNew development
OpenAI signs Abu Dhabi deals across energy, investment and government
OpenAI signed UAE deals across energy, investment and government as it seeks a $20 billion funding round co-led by UAE investors. CEO Sam Altman met Abu Dhabi crown prince Khaled bin Mohamed bin Zayed Al Nahyan. ADNOC, G42, Mubadala, Inception42 and the Abu Dhabi Government signed arrangements to use OpenAI models, including a five-year Inception42 agreement and a government machine-readable policy initiative.
CNBC ↗
- 31 OctNew development
OpenAI cuts new funding target to up to $20 billion
OpenAI is seeking up to $20 billion in a new funding round, down from an earlier target of up to $30 billion, with the round still open and figures subject to change. The Financial Times reported a $1.25 trillion post-money valuation and a Friday investor deadline, while United Arab Emirates investors and Coatue are leading. The cut followed a week of AI stock weakness and below-estimate capital spending from Microsoft, Alphabet and Amazon.