OpenAI cuts new funding round target from $30 billion to $20 billion
Prepared by Sintelligent with the help of SI. Published in SI: . Updated: .
Even the largest SI company is finding it harder to raise tens of billions: investors now want a more convincing answer on when enormous computing costs will pay off.
According to the Financial Times, OpenAI cut its funding target by $10 billion after some investors reduced their commitments amid a sell-off in technology stocks. The company's valuation in the round is now $1.25 trillion, down from the $1.4 trillion initially discussed. According to the Wall Street Journal, OpenAI had secured about $11 billion by the time of publication. Under the scenario described by the FT, a group of investors from the UAE, including MGX, will be the lead backers, while a subsequent offering to wealthy individual investors could help approach the new target. OpenAI intends to close the round before Anthropic's IPO and plans its own listing for 2027.
Sources 2