OpenAI Valuation Surpasses $100 Billion Amid Investment Talks

OpenAI is in discussions to secure new investments at a valuation exceeding $100 billion, according to Bloomberg, citing sources.

Sam Altman’s startup has been in talks to raise funds since at least December. Thrive Capital is reportedly investing around $1 billion, the agency notes.

On Wednesday, OpenAI’s CFO Sarah Friar informed employees that the funds will support the company’s computational needs and cover operational expenses.

Staff will be offered the opportunity to sell some shares later this year. Bloomberg highlighted that these discussions are in early stages and details have not been finalized.

Previously, it was revealed that OpenAI is seeking more capital amid plans to introduce a new product called Strawberry.

In July, media reported that OpenAI could face a potential loss of $5 billion in 2024, which could deplete its funds within approximately 12 months without new investments.

In June, Altman reported a doubling of the company’s annual revenue to $3.4 billion. This figure represents the income from the last month multiplied by 12. At the end of 2023, the figure was $1.6 billion, and last summer it was around $1 billion.

Back in February, OpenAI completed a share sale valued at $86 billion.

In January 2023, the startup’s valuation was $29 billion.