OpenAI, the organization behind ChatGPT, is reportedly engaged in discussions with investors regarding a potential share sale that could assign a valuation to the startup within the range of $80 billion to $90 billion. This valuation, as per sources cited by the Wall Street Journal, would represent a substantial increase compared to the startup's earlier valuation earlier this year, nearly tripling its worth.
The proposed deal under consideration involves allowing employees to sell their existing shares rather than the company issuing new shares to raise additional capital. While OpenAI has initiated discussions with potential investors about this opportunity, it's important to note that the terms of the deal may still undergo modifications.
If OpenAI achieves a valuation of at least $80 billion, it would position the organization as one of the most highly valued startups globally. Microsoft Corp. has notably invested $13 billion in OpenAI, co-founded by Sam Altman. The company is projected to reach an annual revenue milestone of $1 billion as businesses increasingly adopt the technology underpinning ChatGPT, according to reports by Trade Algo.
OpenAI has garnered recognition as one of the key players in the field of generative AI, which has the capability to generate content ranging from videos to poetry with just a few user commands. Since the introduction of ChatGPT in November, OpenAI has collaborated with a wide spectrum of companies, ranging from startups to major corporations, enabling them to integrate this transformative technology into their operations and products.
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