OpenAI is negotiating to raise $6.5 billion in funding at a valuation of $150 billion, significantly higher than its previous target of $1 billion at a $100 billion valuation. This funding round aims to enhance its artificial intelligence technology and cover operational costs amidst fierce competition from tech giants like Google and Amazon.
The investment will be led by Thrive Capital and Microsoft, which has already invested $13 billion in OpenAI. Other potential investors include Apple and Nvidia. Additionally, OpenAI plans to secure a $5 billion revolving credit line from banks.
OpenAI's valuation marks a 74% increase from its previous $86 billion valuation, solidifying its position as a leading player in the AI industry. The company has gained global recognition for its ChatGPT product, which boasts over 180.5 million monthly users.
The influx of capital will enable OpenAI to remain private longer, as the company faces rising operational costs estimated at $7 billion per year. It is also expected to introduce new AI products soon, continuing its competitive edge in the rapidly evolving market.