Financial Times, Bloomberg, or other reputable financial news sources

Microsoft-Backed OpenAI Raises Record $6.6B at $150B Valuation, Urges Investors to Shun Rivals like xAI and Anthropic

Oct 2, 2024, 04:40 PM

OpenAI, the Microsoft-backed artificial intelligence company behind ChatGPT, has closed a massive funding round of over $6.6 billion, valuing the company at approximately $150 billion, according to the Financial Times. This infusion of capital marks the largest venture capital round of all time, making OpenAI one of the three largest venture-backed startups alongside Elon Musk's SpaceX and ByteDance Ltd., the owner of TikTok. As OpenAI shifts from a nonprofit lab to a for-profit structure, the company has reportedly asked investors to avoid backing rival AI startups such as Anthropic and Elon Musk's xAI, aiming to secure exclusive funding and maintain its lead in generative AI.