OpenAI Reportedly Pursuing $30B Raise at $1.25T Valuation Ahead of IPO

OpenAI is reportedly close to securing another mega round of private funding rather than proceeding directly with an IPO. The AI lab is working on raising up to $30 billion at a $1.25 trillion pre-money valuation in a round led by Coatue and investors in the UAE, sources told CNBC.

The report follows a similar one from Bloomberg a month earlier, which said the AI lab was working to raise $30 billion at a $1.4 trillion valuation. Terms are still being negotiated, according to both outlets, so they could ultimately change. CNBC reports that the UAE funding could also be coupled with a deal to secure additional computing capacity for OpenAI from the UAE. OpenAI declined to comment.

A Record-Breaking Valuation

If OpenAI commands a valuation above $1 trillion with this round, it would set a record as the most valuable private company ever. That valuation would also raise the bar even higher for OpenAI's forthcoming IPO. OpenAI filed confidential paperwork for an IPO in June, after its last raise in March valued the ChatGPT maker at $852 billion post-money.

Implications for Anthropic's IPO

The high valuation could also have ramifications for Anthropic's IPO, which many believe is closer to materializing. Rumors suggest Anthropic's public S-1 filing could arrive any day now. The latest reports have Anthropic seeking a $1.5 trillion to $2 trillion valuation for its public debut, according to CNBC. Anthropic raised $65 billion at a $965 billion valuation in May—a round many believed at the time would be its last major raise before an IPO. It also filed confidential paperwork in June.

via TechCrunch AI