What was reported
According to the Wall Street Journal, OpenAI has raised around $11 billion in its latest funding round, against a target of $30 billion. The valuation reportedly stands at $1.25 trillion, versus an aimed-for $1.4 trillion. The report is carried by The Decoder, which cites the Wall Street Journal.
The coverage attributes the gap to fading interest from major investors amid a tech sell-off after weak quarterly results from Google, Amazon and Intel. According to these reports, OpenAI now plans to raise up to $20 billion from family offices and high-net-worth individuals and is planning an IPO early next year.
Context
Rival Anthropic has reportedly been growing revenue faster lately and could go public as early as November. For companies that rely on the availability and pricing of large AI providers, the financial position of these providers is relevant. Whether this leads to concrete effects on prices or services cannot be derived from the report.
Sources
Editorially owned by Ideal Syka. Sources and method: Newsroom & method. Tips and corrections: ai@i6eal.de.
