OpenAI considers additional funding, valuing the company at $1.2 trillion

OpenAI is reportedly examining the possibility of securing additional private investments, with a company valuation of approximately $1.2 trillion. This move is seen as a strategy to obtain large-scale capital ahead of a potential initial public offering while surpassing a key competitor in valuation.

On September 16, a financial outlet cited multiple sources indicating that OpenAI has recently engaged in early discussions with major investors regarding new funding possibilities. If this funding round is successful, OpenAI could exceed a valuation of $1.2 trillion, positioning itself ahead of the competitor.

The competitor was valued at around $965 billion during its recent funding round in May. As competition intensifies in the generative AI market regarding model performance and enterprise customer acquisition, the valuation competition between the two companies is becoming more pronounced.

Discussions for this funding round reportedly originated from investor interest rather than OpenAI's outreach. OpenAI previously secured funding in March, reaching a valuation of approximately $852 billion. In this new funding round, existing investors may also have the opportunity to increase their stakes.

Such large-scale private investments are expected to support OpenAI's preparations for an IPO. The CEO of OpenAI has indicated that while IPO plans are still valid, the company will not go public within the year. Delays in the IPO schedule could make additional funding a crucial means to cover significant computing infrastructure and AI model development costs. OpenAI has not released an official statement regarding the discussions for additional funding.

Reported by ZDNet Korea.