OpenAI Seeks New Funding at $100B+ Valuation

Key Takeaway

OpenAI is in discussions to raise substantial new funding at a valuation of $100 billion or more, which would make it one of the world's most valuable private startups.


  • OpenAI is in early talks to raise a new round of funding at a $100 billion+ valuation. This would make it the 2nd most valuable US startup after SpaceX.
  • The funding talks are still preliminary - terms, valuation, and timing not finalized yet.
  • OpenAI is also in separate discussions to raise $8-10 billion from Abu Dhabi's G42 for a new chips venture called Tigris.
  • Goal of Tigris is to produce AI chips that can compete with Nvidia's.
  • OpenAI had leadership turmoil in November when its board suddenly fired then reinstated CEO Sam Altman within days.
  • The new funding rounds signal OpenAI is refocusing on products after the leadership tumult.
  • OpenAI became Silicon Valley's hottest startup in 2022 after launching ChatGPT.
  • ChatGPT kicked off an AI frenzy and new appreciation for AI's promise.
  • Microsoft, Amazon, Google, Salesforce, and others have invested billions in AI startups in response.
  • OpenAI also recently allowed employees to sell shares in a $86B tender offer led by Thrive Capital.
  • So OpenAI's valuation has skyrocketed in the past year due to the AI hype it initiated with ChatGPT.


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