OpenAI eyes $30B raise at $1.25T valuation, delaying its IPO

OpenAI appears to be in no hurry to go public. Instead of pressing ahead with an IPO, the AI lab is reportedly lining up yet another large private round. According to sources cited by CNBC, it aims to raise up to $30 billion at a $1.25 trillion pre-money valuation, in a round led by Coatue alongside investors in the UAE.

It is the second such signal in a short span. A month earlier, Bloomberg reported the lab was working to raise the same $30 billion, but at a $1.4 trillion valuation. Both outlets stress the terms are still being negotiated and could change. CNBC adds that the UAE financing may come bundled with a separate arrangement to secure more computing capacity for OpenAI. The company declined to comment.

A private-market record

If the round closes above the $1 trillion mark, OpenAI would set a record as the most highly valued private company ever. It would also raise the bar for the company's forthcoming IPO: OpenAI filed confidential paperwork back in June, while its previous round in March valued the ChatGPT maker at $852 billion post-money.

The lofty figure could ripple over to its rival. Many believe Anthropic's IPO is closer to reality — rumors suggest its public S-1 filing could land any day now. Per CNBC, Anthropic is seeking a $1.5 to $2 trillion valuation for its debut. In May it raised $65 billion at a $965 billion valuation, a round widely seen at the time as its last big one before going public. Anthropic also filed confidential paperwork in June.

Source: TechCrunch