OpenAI is nearing the completion of the first phase of a massive new funding round that could raise more than $100 billion, according to people familiar with the discussions. If finalized, the deal would mark the largest private financing round ever and significantly strengthen the company’s ability to scale its artificial intelligence ecosystem.
As the maker of ChatGPT accelerates plans to invest trillions of dollars in global AI infrastructure, the company’s overall valuation could cross $850 billion once the full funding round closes. Notably, this figure exceeds earlier estimates of around $830 billion. However, sources say OpenAI will maintain a pre-money valuation of $730 billion during the initial phase of the deal.
Meanwhile, the first tranche of funding will primarily come from strategic corporate investors. These include Amazon, SoftBank Group, Nvidia, and Microsoft. Collectively, these companies could commit close to $100 billion if they invest at the upper end of the proposed ranges.
According to people briefed on the matter, the strategic investors aim to finalize their allocations by the end of this month. Subsequently, the company plans to close a second phase of fundraising later this year. That round will likely include venture capital firms, sovereign wealth funds, and other large financial investors, potentially pushing the total amount raised well beyond the initial target.
However, the discussions remain ongoing, and the final structure of the deal could still change. Representatives from OpenAI and the participating companies either declined to comment or did not respond immediately to inquiries.
Previously, it was reported that Amazon could invest up to $50 billion, while SoftBank may commit as much as $30 billion. Nvidia has also reportedly explored an investment of around $20 billion. Importantly, corporate investors will deploy the capital in multiple tranches throughout the year instead of making a single lump-sum investment.
As part of its deepening partnership with Amazon, OpenAI also plans to expand its use of Amazon’s cloud infrastructure and custom AI chips. Consequently, this collaboration could play a critical role in supporting OpenAI’s rapidly growing compute demands as competition in generative AI intensifies.
