OpenAI Plans to Raise $30 Billion at a $1.25 Trillion Valuation

OpenAI is planning another major funding round ahead of its stock market debut. The company is reportedly in talks to raise up to $30 billion at a pre-money valuation of $1.25 trillion.

According to CNBC, citing sources familiar with the matter, the funding round is being led by investment firm Coatue and investors from the United Arab Emirates (UAE). However, negotiations are ongoing, and the final terms of the deal could change.

Bloomberg previously reported on a similar development. A month ago, the publication said OpenAI was working to raise $30 billion at a valuation of $1.4 trillion.

According to CNBC, the investment from the UAE could also be linked to a potential agreement to secure additional computing capacity through partners in the country. OpenAI declined to comment on the matter.

If the new funding round closes at a valuation exceeding $1 trillion, OpenAI could become the most highly valued private company in history.

This valuation would also raise expectations surrounding the company's future stock market debut. OpenAI confidentially filed paperwork related to its initial public offering (IPO) in June.

In its most recent funding round in March, OpenAI was valued at $852 billion post-money. The new round could significantly increase that figure.

OpenAI's high valuation could also affect the IPO plans of its rival, Anthropic.

According to CNBC, Anthropic is seeking a valuation of between $1.5 trillion and $2 trillion for its IPO. There are also reports that the company could publicly disclose its S-1 registration statement, a document used in the IPO process, in the near future.

In May, Anthropic raised $65 billion at a valuation of $965 billion. At the time, the funding round was widely seen as potentially the company's last major financing effort before its IPO.

Like OpenAI, Anthropic also confidentially filed IPO-related paperwork in June.

The potential stock market debuts of both AI companies could become some of the largest financial events the technology sector has ever witnessed. However, the final terms of both the funding rounds and the IPOs have yet to be confirmed.