OpenAI Targets $30 Billion Round at $1.25 Trillion Valuation

OpenAI is reportedly moving to close a significant private funding round that could value the company at $1.25 trillion. This strategy would prioritize securing fresh capital over an immediate public listing, according to sources familiar with the matter. The proposed investment could total up to $30 billion.

Sources told CNBC that the round is being led by Coatue Management alongside investors based in the United Arab Emirates. This development follows a report from Bloomberg a month ago, which indicated the AI lab was aiming for a similar $30 billion raise but at a higher pre-money valuation of $1.4 trillion. Since terms are still under negotiation, the final figures for both the amount raised and the valuation may shift before the deal is finalized.

The potential participation of UAE investors is not limited to simple equity stakes. CNBC reports that the funding could be linked to a separate agreement granting OpenAI access to additional computing capacity in the region. This dual approach would address both financial needs and the hardware infrastructure required to support the company's growing models. OpenAI has declined to comment on the ongoing discussions.

If the transaction closes at the reported valuation, OpenAI would become the most valuable private company in history. Such a milestone would significantly raise the bar for the company's upcoming initial public offering. The ChatGPT maker filed confidential paperwork for an IPO in June. At that time, its most recent capital raise in March had established a post-money valuation of $852 billion. The new round would represent a substantial increase from that previous benchmark.

The move also creates ripple effects for competitors in the AI sector, particularly Anthropic. Many industry observers believe Anthropic is closer to launching its own public offering. Rumors suggest the company could file its public S-1 document at any time. CNBC reports that Anthropic is targeting a valuation between $1.5 trillion and $2 trillion for its debut.

Anthropic raised $65 billion in May at a $965 billion valuation. Many at the time viewed that round as the final major private financing before the company transitioned to public markets. The company also filed confidential IPO paperwork in June. The high valuation being sought by OpenAI may set a new standard that Anthropic must meet or exceed to attract strong interest in its own listing.

The competitive dynamic between the two leading AI labs continues to shape the broader market. As both companies prepare for potential public listings, their respective valuations will serve as key indicators for investor sentiment toward the AI sector. The outcome of OpenAI's current round will likely influence the trajectory of its competitor's efforts to enter the public sphere.