AI

OpenAI after Mega Deal: Valuation Soars to 80 Billion Dollars

OpenAI Opts for Takeover Bid: Sale of Existing Shares Following AI Boom – Insiders Reveal Strategy for Continued Upswing.

Eulerpool News Feb 19, 2024, 6:00 PM

The Microsoft-backed company OpenAI has closed a deal that values the company at $80 billion or more. According to insider information, OpenAI will sell existing shares as part of a tender offer. This is reported by the "New York Times," citing three people familiar with the deal.

The boom in artificial intelligence has helped OpenAI to this marked upswing. The AI developer ChatGPT has taken the world by storm when it was introduced in November 2022. Within a matter of weeks, already 100 million users were experimenting with the software. At the same time, the topic of AI made headlines more frequently, as companies see lucrative business reasons in such programs that can simulate human interactions or create complete texts based on a few keywords.

As early as September 2023, ChatGPT Operator Spoke with Investors About a Possible Stock Sale to Further Drive Growth. Now, just under a year later, OpenAI will now enter the stage with an impressive valuation. The venture firm Thrive Capital will lead the tender offer, which will also give employees the opportunity to cash out their company shares.

Although OpenAI has not yet responded to a request for comment, it is known that the company aimed for a valuation of 80 to 90 billion dollars last year. The collaboration with Microsoft, one of the world's largest technology giants, has made OpenAI a significant player in the AI industry.

The significant rise in valuation highlights the importance and growth potential of Artificial Intelligence. The demand for AI developers and solutions is steadily increasing, and companies that can position themselves in this area are highly sought after by investors.

With the deal, OpenAI will undoubtedly continue to rise and consolidate its leading role in the AI industry. It remains to be seen which further developments and expansions the company will drive forward with this enormous capital boost.

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