Today: 31 May 2025
27 September 2023
1 min read

OpenAI to raise funds at a valuation of $80-$90 bn

Microsoft invested around $10 billion in the AI startup. The tech giant owns 49 per cent in OpenAI. Last month, OpenAI said it expected to reach $1 billion in revenue in 2023…reports Asian Lite News

Sam Altman-run OpenAI is reportedly raising funds at a valuation of $80-$90 billion via sale of existing shares.

According to The Wall Street Journal, the ChatGPT developer is “talking to investors about a share sale” that would value the company between $80 billion to $90 billion, “roughly triple its level earlier this year”.

OpenAI generates revenue in part by charging individuals for access to a powerful version of ChatGPT. “Employees would be allowed to sell their existing shares rather than the company issuing new ones,” said the report.

In April, OpenAI OpenAI closed a more than $300 million share sale at a valuation of $29 billion. Altman has “privately suggested OpenAI may try to raise as much as $100 billion in the coming years to achieve its aim of developing artificial general intelligence (AGI) that is advanced enough to improve its own capabilities”.

Earlier this year, Microsoft invested around $10 billion in the AI startup. The tech giant owns 49 per cent in OpenAI. Last month, OpenAI said it expected to reach $1 billion in revenue in 2023.

According to media reports, the ChatGPTmaker OpenAI may even go bankrupt by the end of 2024 if it doesn’t get more funding soon. A recent report by Investopedia claimed that it is too early for any AI leading company, like OpenAI, Anthropic, or Inflection, to head into the initial public offering (IPO) market.

“It is because it takes at least 10 years of operation and $100 million in revenue for an IPO to be successful,” the report said.

ALSO READ-OpenAI’s ChatGPT can now see, hear and speak

Previous Story

Crypto firm Mixin hit by $200 mn hack, halts services

Next Story

World Leaders Laud India’s Commitment to Global South

Latest from -Top News

World needs Dubai’s ambition: Morgan

Piers Morgan has hailed Dubai’s transformation as an example of what visionary leadership can achieve. British broadcaster Piers Morgan has praised the extraordinary ambition and vision of His Highness Sheikh Mohammed bin

Mohammed honours football champions

Ruler of Dubai hails players as role models during palace reception His Highness Sheikh Mohammed bin Rashid Al Maktoum, Vice President, Prime Minister of the UAE, and Ruler of Dubai, received the

Abu Dhabi sets 2050 energy vision

Abu Dhabi unveils AED400 billion energy roadmap, inked climate finance pact ahead of 2026 UN Water Conference Abu Dhabi has unveiled a sweeping strategic framework to transform its energy and water sector

Gargash: UAE’s pragmatism sets regional example

Anwar Gargash says the UAE stands as a beacon of what is possible when pragmatism and vision come together. As political instability, economic fragmentation and rapid technological change continue to reshape the

US flag returns to Damascus

Billions in energy deals and lifted sanctions mark Syria’s reintegration, as US reopens embassy and declares the war-torn nation “open for business” under new regional partnerships. The United States has reopened its
Go toTop

Don't Miss

OpenAI Staff Threaten Mass Exodus

OpenAI chief scientist Ilya Sutskever, who reportedly led efforts to

OpenAI Faces Another Lawsuit Over Alleged Copyright Infringement

The lawsuit alleged that “OpenAI’s acts of copyright infringement have