OpenAI Closes $1.25 Trillion Round and Raises $11 Billion as Anthropic Accelerates Toward IPO
New funding puts the ChatGPT maker among the world's most valuable companies, but falls short of the initial $30 billion target after a tech stock slump and rival Anthropic's march toward the public markets
OpenAI has completed a new funding round that raised its market value to $1.25 trillion, with $11 billion raised from investors. The move cements the ChatGPT maker among the most valuable companies on the planet, just months after raising $122 billion in March, when it was valued at $852 billion.
Funding falls short of initial target
According to Bloomberg, OpenAI is still negotiating additional investments that could raise the total raised in this round to $20 billion. The original target, however, was more ambitious: the company expected to raise up to $30 billion at a $1.4 trillion valuation.
The pullback in figures reflects a more cautious climate for the sector. The decline in technology stocks and the outcome of the U.S. midterm elections, which highlighted growing public resistance to AI companies and data center projects, weighed on negotiations.
Anthropic enters the race for the public markets
While OpenAI adjusts its fundraising expectations, its main rival, Anthropic, has taken a decisive step toward the public market. The company filed its S-1 form last week, formally initiating the process to hold its initial public offering (IPO).
Anthropic's move puts additional pressure on OpenAI, which has so far postponed its own stock market debut. In statements earlier this year, CEO Sam Altman said the company is waiting until it can make stronger claims about the safety of its models before going public.
The OpenAI IPO dilemma
Altman has not set a specific deadline for OpenAI's IPO, but signaled that the delay carries strategic costs. "I also think it's kind of bad for the world if OpenAI waits too long to go public," the executive said at the time.
The difference in posture between the two companies defines the current board of the generative AI race. Anthropic is moving forward with its governance structure geared toward the public market, while OpenAI, which recently underwent a corporate restructuring, is still balancing its original nonprofit mission with the demands of investors who have already poured in hundreds of billions of dollars.
The $1.25 trillion valuation keeps OpenAI at a level comparable to the largest U.S. technology companies, but the slower-than-planned fundraising pace indicates that the market's appetite for AI is beginning to find limits amid public scrutiny and stock market volatility.