OpenAI has raised $8.3 billion at a $300 billion valuation, as a part of its plan to secure $40 billion in funds this year, reported the New York Times on August 1. This funding was announced in partnership led by SoftBank Group in March.
While SoftBank committed to $30 billion, the report stated that OpenAI raised $2.5 billion from venture capital firms in March, with plans to raise an additional $7.5 billion, but the capital was raised earlier and exceeded the planned amount.
Dragoneer Investment Group led the round with a $2.8 billion commitment, and other investors participating in the round included Blackstone, TPG, Andreessen Horowitz, Coatue Management, Altimeter Capital, D1 Capital Partners, Tiger Global, Thrive Capital, and others.
The round was five times oversubscribed, added the report.
Recently, The Information reported that OpenAI has doubled its revenue in the first seven months of the year and has reached $12 billion in annualised revenue. Furthermore, the New York Times reported that the company’s current revenue has reached $13 billion from $10 billion in June, and is projected to reach $20 billion by the end of this year.
Earlier this year, OpenAI initiated Project Stargate, a $500 billion effort to build advanced AI infrastructure in the U.S., led by SoftBank along with partners like Oracle, MGX, Arm, Microsoft, and NVIDIA, each contributing in their own way.
OpenAI announced that the project would deploy an initial $100 million “immediately” upon its January announcement.
As part of this project, OpenAI also recently announced an agreement with Oracle to develop 4.5 gigawatts (GW) of additional Stargate data centre capacity in the United States.
The post OpenAI Has Raised $8.3 Billion: Report appeared first on Analytics India Magazine.
