OpenAI has finalized an agreement permitting its employees to divest stakes in the company, with a tender offer appraising the artificial intelligence startup at a staggering $86 billion.
This valuation firmly establishes OpenAI as one of the most valuable startups globally, marking a pivotal moment in the company’s journey. Trade Algo has reported that Thrive Capital, helmed by Josh Kushner, is spearheading the deal.
Both OpenAI and Thrive Capital have opted not to provide comments on the matter, although some particulars of the deal were previously disclosed by The New York Times.
Originally slated for the preceding year, the share sale encountered delays following the departure of Chief Executive Officer Sam Altman by the OpenAI board in November. Altman has since been reinstated, and the company is assembling a new board of directors.
In addition to the tender offer, OpenAI has been engaged in talks regarding securing additional funding, which could potentially catapult the company’s valuation to over $100 billion, according to earlier reports from Bloomberg.
Concurrently, Sam Altman is actively pursuing billions of dollars to bolster the global supply of state-of-the-art computing chips, a move also highlighted by Bloomberg.
The escalating value of OpenAI comes more than a year after the company garnered attention with the debut of ChatGPT, an AI chatbot.
This launch sparked an AI fervor in Silicon Valley, with tech behemoths, investors, and startups redoubling efforts to advance AI technology. OpenAI has been at the forefront of these advancements, sealing deals to receive $13 billion from Microsoft Corp. and drawing investment from other quarters.
Recently, OpenAI unveiled Sora, a text-to-video generator capable of crafting cinematic video clips based on textual prompts. This groundbreaking innovation underscores OpenAI’s dedication to pushing the boundaries of AI capabilities and broadening its technological repertoire.
The conclusion of this deal and the substantial valuation it entails underscore OpenAI’s prominence as a pivotal player in the AI arena.
The involvement of Thrive Capital and the prospect of new funding further fortify OpenAI’s financial foundation, empowering the company to pursue ambitious projects and advancements in cutting-edge technology.
As OpenAI continues to make significant headway in AI development, its soaring valuation underscores the significance and potential impact of its contributions to the ever-evolving technological landscape.
