OpenAI cuts its funding target to $20 billion after raising about $11 billion of the $30 billion it first sought
The Next Web pulls together the WSJ, FT and CNBC reporting on the round, its valuation and who is still expected to invest.
OpenAI has secured about $11 billion in its latest funding round, less than half of the $30 billion it first sought, The Wall Street Journal reported, citing people familiar with the matter; interest from some large investors was "tepid." The Financial Times reported that the company cut the target by $10 billion to about $20 billion, and CNBC confirmed the new target, citing a person who said the round is still open and the figures could change. The Next Web summarizes all three.
The round values OpenAI at $1.25 trillion after the new money, down from the $1.4 trillion it first pitched, the FT reported. OpenAI told shareholders it expects to raise more in the coming weeks, including from family offices and wealthy individuals, per the WSJ. The FT says UAE investors, including state-backed MGX, are likely to be the largest backers, with SoftBank, Founders Fund, Coatue, Sequoia and Andreessen Horowitz also planning to invest. OpenAI plans to list as soon as early next year.