New turn in OpenAI $1.25 trillion funding round
OpenAI has raised $11 billion at this time, and the total can be near $20 billion, far below the $30 billion goal.
OpenAI is in a new funding round at a value of $1.25 trillion. In late September, Bloomberg reported that OpenAI wanted $30 billion.
Bloomberg reported on Friday that OpenAI has raised $11 billion at this time in a funding round that values the company at $1.25 trillion. Sources told Bloomberg this. This round has not closed. A source said the total can be about $20 billion, and that it can close in the coming weeks. OpenAI has not replied.
What is new
The $11 billion is part of a larger funding round. The current figures are far below the $30 billion target.
The market
Bloomberg also reported that buyers of shares in the IPO (first sale of shares to the public) of Anthropic want a lower value. Some think $1.1 trillion, not the $2 trillion that investors wanted about a month ago.
What is not known
OpenAI planned an IPO for this year, but delayed it. Bloomberg says the market an IPO is possible next year. TechCrunch says the AI market is uneasy after the Democratic win in the US midterm votes and negative voter sentiment about data centers.
Insight: Both big labs face a cooler market
OpenAI raised less than it sought, and buyers want a lower value for Anthropic. Voters in the US backed limits in 40 of 41 local votes, and OpenAI then pledged to pay its full electricity cost. This reads as investors pricing the political risk of data centers, and the next move to monitor is the close of the funding round. Leaders must plan for less cheap AI capacity.
Sources
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