OpenAI reportedly finalizing $100B deal at more than $850B valuation
The ChatGPT-maker is raising over $100 billion, backed by Amazon, SoftBank, and Nvidia.
Deep Dive
OpenAI is finalizing a funding round exceeding $100 billion, which would value the company at over $850 billion, according to Bloomberg. Major investors include Amazon ($50B), SoftBank ($30B), and Nvidia ($20B). This capital supports OpenAI's costly path to profitability, which includes testing ads in ChatGPT for free users. The deal underscores immense investor confidence despite the company's significant cash burn and revenue experiments.
Why It Matters
This massive funding cements AI as a trillion-dollar industry and pressures OpenAI to monetize its flagship product aggressively.