OpenAI, led by Sam Altman, is in discussions to raise as much as $60 billion from major technology companies including Nvidia, Microsoft, and Amazon, according to a report by The Information.
As per the report, Nvidia, which is already an investor and supplies the chips that power OpenAI’s artificial intelligence models, is considering an investment of up to $30 billion. Microsoft, a long-term backer of OpenAI with exclusive rights to commercialize its models, is said to be in talks to invest less than $10 billion. Amazon, which would join as a new investor, is reportedly exploring a much larger commitment, potentially exceeding $20 billion.
The report added that OpenAI is nearing the stage of receiving term sheets or formal investment commitments from these companies. Amazon’s participation may hinge on parallel discussions, including the possible expansion of OpenAI’s cloud infrastructure usage on Amazon’s servers and a commercial arrangement to distribute OpenAI products such as enterprise ChatGPT subscriptions through Amazon.
The fundraising talks come alongside separate reports earlier this week that indicated SoftBank Group is also in discussions to invest up to an additional $30 billion in OpenAI.
OpenAI has raised substantial capital in recent years to support the high costs associated with training advanced AI models, building data centers, securing specialized chips, and attracting top talent. Despite rapid growth and widespread adoption of its technology, the company is not yet profitable and continues to face rising operational expenses.
The funding discussions are taking place amid intensifying competition in the artificial intelligence sector, particularly as Alphabet-owned Google accelerates its own AI development and deployment efforts.
