OpenAI has just reached a record valuation: No one knows how they have achieved $157 billion so far

Sam Altman’s company has just raised the astonishing amount of 6.6 billion dollars, resulting in a value of 157 billion. Even for a huge Silicon Valley company, that’s a lot of money.

ChatGPT DOWNLOAD

In the midst of the company’s downfall, if we consider the foundational concept of a non-profit organization, OpenAI has not disclosed how it will invest the capital, only stating that it will accelerate AI research and increase its computing capacity.

In an unprecedented operation, OpenAI has raised 6.6 billion dollars in new funding, bringing its valuation to the astonishing figure of $157 billion. This investment round is one of the largest in history in private markets and confirms OpenAI’s position as a leader in the AI race.

Billions to Boost the AI of the Future

Thrive Capital, led by Josh Kushner, spearheaded the funding round with an investment of 1.3 billion dollars. Microsoft, the main sponsor of OpenAI, contributed another 750 million dollars, as reported by a source to Bloomberg, which brings Redmond’s total investment to nearly 14 billion dollars.

Other investors included Nvidia, Khosla Ventures, Fidelity Management & Research Co, Tiger Global Management, Altimeter Capital, Coatue Management, and the venture capital firm Quiet Capital.

The funding round also attracted global interest, as the Japanese group SoftBank and MGX, based in Abu Dhabi, joined the list of investors, according to people familiar with the matter who spoke to Bloomberg. SoftBank’s investment amounted to 500 million dollars, according to one of the sources.

Funding has turned OpenAI into one of the three largest venture-backed startups, along with Elon Musk’s SpaceX and ByteDance, the owner of TikTok.

ChatGPT DOWNLOAD

OpenAI plans to use this capital injection to accelerate AI research and expand its computing capacity. “The new funding will allow us to double down on our leadership in cutting-edge AI research, increase computing capacity, and continue creating tools that help people solve difficult problems,” the company stated when announcing the operation.