OpenAI is racing to secure investor commitments before rival Anthropic's expected public market debut in mid-November, in an unusually fast fundraising that could value the ChatGPT maker at over $1.4 trillion, according to two people familiar with the matter cited by PTI. The round of about $30 billion is expected to move faster than is typical for an offering of its size.
The rapid timetable reflects, in part, a desire to get ahead of Anthropic as the two frontier labs increasingly tap into a similar investor base, the people said, adding that OpenAI wants to capitalize on its recent revenue growth after launching new models. SoftBank Group, Abu Dhabi-based MGX and other existing backers of OpenAI are in talks to join the round, according to Bloomberg, which first reported the fundraising.
The acceleration underscores how closely the two AI developers are competing for capital as both pursue trillion-dollar price tags, amid growing concern about rising interest rates, significant volatility in technology stocks and rising scrutiny of AI valuations. Investors familiar with the company say OpenAI also needs capital to fund its substantial infrastructure commitments and bolster its balance sheet if a deterioration in the IPO markets further delays its planned 2027 listing.
OpenAI's annualized revenue run rate is nearing $70 billion, up more than 70 percent since the start of the third quarter, Bloomberg reported. The round would serve as bridge financing in place of an initial public offering, after CEO Sam Altman said earlier this month that the company would not go public in 2026, citing concerns over AI safety and the challenges of adapting to increasingly capable systems.
The company is also expanding its commercial offerings, unveiling an always-on AI agent called Dots and introducing a $500 subscription tier, Bloomberg reported. Rival Anthropic is expected to go public in November at a potential valuation of more than $2 trillion, according to its IPO prospectus, setting up an unprecedented head-to-head contest for investor capital between the two frontier labs within weeks of each other.