OpenAI is close to finalising a landmark $40 billion funding round, with SoftBank Group poised to lead the investment, according to a report by Bloomberg.
The Japanese tech investor is expected to commit $30 billion in total, starting with $7.5 billion upfront, followed by a second tranche of $22.5 billion later in the year.
An additional $10 billion is set to come from other investors, including Magnetar Capital, Founders Fund, Coatue Management, and Altimeter Capital.
If completed, the deal would value OpenAI at $300 billion (nearly double its October 2023 valuation of $157 billion) and mark the largest-ever private investment round in the AI sector.
The fresh influx of cash would further boost OpenAI’s position as a frontrunner in generative AI following the success of ChatGPT and GPT-4o.
Bloomberg notes the capital will be used to expand research, enhance existing models, and scale infrastructure, including through partnerships such as Project Stargate in Texas.