Nvidia, Apple, and Microsoft are reportedly in talks to invest in OpenAI.
This deal, led by Thrive Capital, might see Thrive contributing around $1 billion to OpenAI.
If finalised, this valuation would represent a significant $20 billion increase from OpenAI’s valuation eight months ago.
Nvidia, Apple, and Microsoft are reportedly planning to join funding round for OpenAI, which would value the San Francisco-based AI start-up at an impressive $100 billion. This deal, led by Thrive Capital, might see Thrive contributing around $1 billion to OpenAI.
If finalised, this valuation would represent a significant $20 billion increase from OpenAI’s valuation just eight months ago, The New York Times reported.
Since its breakthrough with the launch of ChatGPT in late 2022, OpenAI has become a major player in the artificial intelligence space. The company has attracted substantial investment, with billions pouring in from various sources.
While interest in AI start-ups has cooled recently, OpenAI has continued to thrive independently, focusing on developing and selling its AI technologies.
Microsoft and others have already invested over $13 billion in OpenAI since 2019, aiding the start-up in its need for vast computing resources. Nvidia, which provides specialised chips crucial for AI development, has seen remarkable growth recently. Its sales and profits have more than doubled in the past three months.
Earlier this year, Thrive Capital led a deal that valued OpenAI at over $80 billion without issuing new shares. Instead, the company allowed existing shareholders, including employees, to sell their shares. The new deal is expected to offer the same opportunity for current shareholders.
Also read: OpenAI unveils cost-efficient GPT-4o mini model: What is it and how it works
While Nvidia’s involvement was reported by Bloomberg and Apple’s by The Wall Street Journal, Microsoft’s potential participation remains a key part of the discussions. Apple, which has lagged behind in AI development compared to competitors like Google, Microsoft, and Meta, recently announced plans to integrate OpenAI’s chatbot into its iPhone.
Additionally, Apple is set to provide more details about its own AI technology, Apple Intelligence, at its upcoming event on September 9, aimed at enhancing Siri and other features across its devices.
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Ayushi Jain
Tech news writer by day, BGMI player by night. Combining my passion for tech and gaming to bring you the latest in both worlds. View Full Profile
