OpenAI Valued At $80 Billion Or More In New Report

In a recent report it is revealed that OpenAI, the AI company backed by Microsoft, has finalized a deal estimated to value the firm at $80 billion or more. According to sources familiar with the agreement cited by The New York Times, OpenAI will offer shares in a tender offer facilitated by venture capital firm Thrive Capital.

In this arrangement, employees will have the opportunity to monetize their shares in OpenAI, diverging from the conventional fundraising route where shares are sold to investors to secure capital for the company's operations.

This deal mirrors a similar transaction from early last year when VC firms, including Thrive Capital, Sequoia Capital, Andreessen Horowitz, and K2 Global, acquired shares in a tender offer, valuing OpenAI at approximately $29 billion. Notably, OpenAI has played a pivotal role in advancing AI technologies in the public eye, notably with the launch of the AI-powered chatbot ChatGPT in late 2022.

CEO Sam Altman has reportedly been engaged in discussions to raise funds for a new chip venture, aiming to bolster the global capacity for manufacturing high-performance chips essential for AI applications. This is a developing story.