OpenAI closes in on record $100 billion funding round, targeting $850 billion valuation

OpenAI aims to secure $100 Billion in latest funding round, reportedly aiming for an $800 billion valuation -- Parties offering up cash include Nvidia, Microsoft, SoftBank, and more

OpenAI may be on the cusp of securing a new stockpile of cash to burn through, with the business looking to secure $100 billion in funding from a range of tech and investment firms, Bloomberg reports. The company is reportedly seeking a valuation of around $850 billion, according to the outlet's sources. With $1.4 trillion in pledged expenditure over the next eight years, OpenAI has enormous commitments to meet. While OpenAI is also preparing for an IPO later this year, its plans have not gone without criticism, with some reportedly coming from Nvidia CEO Jensen Huang himself. AI's circular strategy The circular nature of AI investment and infrastructure deals has been apparent since the earliest months of 2025, and it played out throughout most of last year. Nvidia invested in companies that often bought Nvidia chips, while tech firms investing in AI developers often sold those same companies cloud computing capacity. This latest tranche of funding for OpenAI appears to be much of the same. The key players in the deal are Amazon, Nvidia, Microsoft, and SoftBank, all of which have a mix of deals with one another and OpenAI already. Amazon's investment is rumored to be up to $50 billion, with the condition of that investment being that OpenAI uses more of its chips and cloud computing services. SoftBank is reportedly considering a $30 billion investment, while Nvidia's is said to be $20 billion, a fifth of the total $100 billion alliance made in September 2025. Although Microsoft's name was also thrown around by Bloomberg's sources, there was no speculation on what kind of financial contribution it would make to this round of funding. All companies involved are expected to finalize their investments by the end of February. As with other major investment deals, even the rumored news of this one sent stock prices rising. AI industry sceptics would suggest this is one more example of why the AI industry is in a bubble: Investments that haven't happened yet generate financial returns for these companies, even without any clear path to profitability. Projecting confidence It's been a while since any of the big AI companies have made any enormous, headline-grabbing announcements. Indeed, a lot of the meta-story surrounding AI in recent weeks has been a crisis of confidence. Microsoft CEO Satya Nadella was seeming wobbled by the "slop" moniker, and bubble name-calling; Nvidia's Jensen Huang specifying the details of its $100 billion partnership with OpenAI, and an increasing number of studies suggesting AI isn't helping improve productivity much, if at all. OpenAI is even projected to run out of cash entirely by 2027. But this week, the AI Impact Summit in India is being held, where all the major players in the industry are speaking. OpenAI's Sam Altman is there, as is Anthropic's Dario Amodei. OpenAI also released GPT 5.3 Codex, which is the first of OpenAI's deployments that marks a move away from being reliant solely upon Nvidia chips. According to Bloomberg, sources close to the matter suggested that this is just the first phase of funding supplied by major names in the industry, with more to come. Once the major tech firms have signed on, OpenAI is reportedly looking to generate further investment from venture capital firms, sovereign wealth funds, and other financial investors, leading to its eventual IPO. Although it's not explicitly stated, the fact that OpenAI is targeting these other sources after its industry contemporaries have taken the first step feels rather deliberate. Forever chasing its tail With significant spending commitments already booked in, OpenAI is clearly looking toward how it might fulfill the titanic amount of spending. At the AI India summit, it's still making more commitments for new data center deals, expending more money it doesn't yet have, on the back of confidence generated by deals that have yet to be finalized, or in some cases even officially announced. So, despite the latest funding round, reportedly backed by some of the biggest companies in the world, OpenAI still has a long road to having enough cash to deliver on its promises.

OpenAI Funding on Track to Top $100 Billion With Latest Round

OpenAI is close to finalizing the first phase of a new funding round that is likely to bring in more than $100 billion, according to people familiar with the matter, a record-breaking financing deal that would give the startup additional capital to build out its artificial intelligence tools. As the ChatGPT maker prepares to spend trillions in infrastructure investment, the overall valuation of the company, including the eventual funding, could exceed $850 billion, according to some of the people. That's higher than the $830 billion initially expected. The company's pre-money value will remain $730 billion, said one person, all of whom asked not to be identified discussing private information. The first portion of the funding round will largely come from strategic investors including Amazon.com Inc., SoftBank Group Corp., Nvidia Corp. and Microsoft Corp., the people said. If those companies invest near the highest ranges of what has been discussed, those commitments will near $100 billion. Those companies are expected to finalize their allocations by the end of this month, some of the people said. The next phase of the deal -- which will include venture capital firms, sovereign wealth funds and other financial investors -- is expected to close later, and may bring the total fundraising amount substantially higher, some of the people said. The deal is not yet finalized and the details could change, some of the people said. Representatives for OpenAI, Amazon, Nvidia, SoftBank and Microsoft either declined to comment or did not immediately respond to requests for comment. In connection with the upcoming deal, Amazon is expected to invest up to $50 billion, SoftBank is set to invest as much as $30 billion, and Nvidia has discussed putting in $20 billion, Bloomberg previously reported. The money from corporate investors is expected to come in several tranches, or installments, over the course of the current year, some of the people said. As part of its partnership with Amazon, OpenAI is expected to expand its use of Amazon's chips and cloud computing services, said one of the people.

OpenAI said to be finalizing $100 billion funding round

Less than a year after it closed the largest fundraising round by a private tech company in history, OpenAI is closing in on a new record. Bloomberg reports the AI giant is close to finalizing a round that is expected to top $100 billion. That's expected to boost the company's valuation to more than $850 billion. The round, which has been rumored for months, has not yet closed, but backers are expected to finalize their allocations by the end of the month. Among the companies expected to put money into OpenAI are Amazon $AMZN (which could invest as much as $50 billion), SoftBank (expected to invest $30 billion), Nvidia $NVDA ($20 billion) and Microsoft $MSFT. Venture capital firms would decide their investments following the corporate commitments. While $100 billion more than doubles the record $40 billion OpenAI raised last March, the company is continuing to spend trillions of dollars in infrastructure - and it has massive financial commitments to companies like Nvidia and Oracle $ORCL. While market watchers are starting to wonder when these investments will begin to turn a profit, OpenAI founder and CEO Sam Altman told CNBC that's not the company's focus at present. "We are growing at an extremely fast rate right now," he said. "I think as long as we can have reasonable unit economics, we should focus on continuing to grow faster and faster, and we'll get profitable when we think it makes sense." All of this comes as OpenAI is barreling toward an IPO, perhaps as early as later this year. The company and rival Anthropic are reportedly in a horserace to be the first major AI company to go public.

OpenAI funding round on track to top $100 bln- Bloomberg By Investing.com

Investing.com-- OpenAI is close to finalizing the first phase of a new funding round that is slated to raise over $100 billion, Bloomberg reported on Thursday, citing people familiar with the matter. The latest funding round could value the ChatGPT maker at more than $850 billion, the Bloomberg report said. OpenAI's pre-funding valuation will remain at around $730 billion, the report. Get breaking news on Wall Street's AI giants by subscribing to InvestingPro The record-breaking capital raise comes as the company prepares to spend trillions on building out its AI infrastructure ambitions in the next decade. Earlier reports had listed several Wall Street majors, including Microsoft Corporation (NASDAQ:MSFT), NVIDIA Corporation (NASDAQ:NVDA), and Amazon.com Inc (NASDAQ:AMZN), as participants in the funding round. The capital injection is also expected to help OpenAI weather the massive costs of training and developing its AI models- costs which have seen the company remain squarely in loss-making territory in recent years. OpenAI, which is the world's most valuable startup, is expected to keep losing money until at least 2029, although the company is also projected to sharply ramp up its revenue growth in the coming years. The startup is also expected to head for an initial public offering by as soon as end-2026, recent reports showed.