WATCH THE VIDEO HERE ChatGPT maker, OpenAI, is reportedly in talks to raise $6.5 billion from investors at a valuation of $150 billion. According to a Bloomberg report citing people familiar with the situation, the new valuation is significantly higher than the $86 billion valuation from the company’s tender offer earlier this year, and cements its place as one of the most valuable startups in the world. Per the Bloomberg report, the $150 billion valuation does not include the money being raised. The report indicated that OpenAI is also in talks to raise $5 billion in debt from banks in the form of a revolving credit facility. The funding round is slated to be led by Thrive Capital, Bloomberg previously reported. Microsoft Corp., the company’s largest investor, is also set to participate, and Apple Inc. and Nvidia Corp., have been in talks about investing. Microsoft has invested over $13 billion in OpenAI, including a $1 billion investment in 2019 and a $10 billion investment in 2023. Part of Microsoft’s investment includes a large amount of Azure cloud credits and limited cash. The AI industry has seen a surge in investment, driven by the rapid advancements in generative AI technologies like OpenAI’s ChatGPT and Google’s Gemini. As AI technology continues to evolve, investors are increasingly recognizing the importance of developing systems that are not only powerful but also aligned with human values and safety protocols.
OpenAI set to raise $6.5 billion at $150 billion valuation – Report
