OpenAI Secures $6.6 Billion in Funding, Doubling Valuation Amid Leadership Changes and Profitability Challenge
OpenAI announced that it has completed a $6.6 billion funding deal, doubling the company’s value from $80 billion nine months ago to $157 billion after the round!
Microsoft, Nvidia, Japan’s SoftBank, UAE’s MGX, and others participated in the funding round, while Apple announced that it has withdrawn its decision to invest in OpenAI.
Although the company expects to achieve sales of about $3.7 billion this year, it also expects to incur a loss of about $5 billion after paying expenses.
📍 OpenAI aims to become a profitable company by next year, and according to the terms of the investment round, the company has two years to turn profitable or its financing will turn into debt.
The company was able to succeed in the round despite last week’s resignations and leadership turmoil; the company’s CTO, Mira Murati, as well as the head of scientific research, Bob McGraw, and the vice president of research, Barrett Zoff, announced that they will leave the company.
