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OpenAI completes $1.22 trillion funding at a valuation of $852 billion, opening retail investor access for the first time
According to 1M AI News monitoring, OpenAI announced it has completed the largest funding round in Silicon Valley history, totaling $122.0 billion, with a post-money valuation of $852.0 billion. This round additionally raised $12.0 billion on top of the $110.0 billion strategic investor commitments disclosed in February of this year, including $3.0 billion that was first sourced from individual investors.
Of the previously announced $110.0 billion commitments, Amazon contributed $50.0 billion ($15.0 billion paid immediately, and $35.0 billion to follow on after OpenAI lists or achieves AGI). Nvidia and SoftBank each contributed $30.0 billion. Andreessen Horowitz, Sequoia Capital, Thrive Capital, D.E. Shaw Ventures, and Microsoft, among others, also took part in this round, but Microsoft did not disclose the specific amount.
Retail investors can buy in through bank channels and ETFs managed by Cathie Wood’s ARK Invest. ARK’s flagship fund, the ARK Innovation ETF (with assets under management of about $6.0 billion), will allocate roughly 3% to its OpenAI holdings—marking the first time the fund has included a private company.
OpenAI says its monthly revenue has reached $2.0 billion. Last year’s full-year revenue was $13.1 billion, with about 60% coming from the consumer side; the remainder came from enterprise customers. The company expects that by year-end, the enterprise revenue share will rise to about half. ChatGPT’s weekly active users exceed 900 million, and paid subscription users exceed 50 million. The company is still operating at a loss.
OpenAI CFO Sarah Friar said that opening investment channels to retail investors is consistent with the company’s mission to “ensure powerful AI benefits all of humanity.” At present, participation is limited to accredited investors, and in the future it will further expand access. The market widely expects OpenAI to launch an IPO within the year, at which point retail investors will play an important role.