OpenAI On Cusp Of Raising Billions In New Venture Capital Round, Valuation Spikes To $100B: Report

Anthony Noto

August 28, 2024

OpenAI, the startup behind the artificial intelligence portal known as ChatGPT, is about to get a massive cash infusion that will pump its valuation beyond $100 billion.

What Happened: Venture capital firm Thrive Capital is leading a fundraising effort and will invest at least $1 billion, according to the Wall Street Journal.

Microsoft Corp (NASDAQ:MSFT), an original OpenAI investor, is also expected to participate in the round. It remains to be seen what other backers, if any, are joining the campaign.

See Also: Nvidia Q2 Earnings, Guidance Top Street View As AI Fuels Record Data Center Revenue: Gross Margin Falls Quarter-Over-Quarter, Stock Drops

In 2023, OpenAI was valued at $86 billion.

Why It Matters: OpenAI’s ChatGPT product boasts hundreds of millions of monthly users.

While technically a nonprofit, OpenAI charges its users depending on which GPT tier they use. The GPT-3.5 and the GPT-4o models are free with a registered account. The Plus version, which grants access to GPT-4, costs $20 per month.

The company’s offerings have helped it maintain an edge over big-name rivals, including Alphabet Inc (NASDAQ:GOOG)(NASDAQ:GOOGL). The Google parent company dumped a $6-billion cash load into Anthropic, an Amazon.com Inc (NASDAQ:AMZN)-backed competitor launched by former OpenAI executives.

Meta Platforms Inc (NASDAQ:META) is also hustling to build its own AI model. The company will likely integrate the tech into Facebook and Instagram.

OpenAI, meanwhile, is working with Apple Inc (NASDAQ:AAPL) to power new AI features for the next generation of iPhones.

What’s Next: Expect the company to continue wrestling with lawsuits. Last month, the Center for Investigative Reporting sued the AI innovator and Microsoft, citing unauthorized use of its content.

Earlier this week, OpenAI insisted that it makes fair use of copyrighted content to teach its language models to create original material.

Now Read:

CrowdStrike Q2 Earnings: Revenue Beat, EPS Beat, ARR Up 32% ‘Even More Customer-Obsessed’ Company Following IT Outage In July

Photo: Shutterstock

Recommended

Man Who Called Nvidia at $1.10 Says Buy This Now... - Ad

The "Amazon Coin" -- To Be Bigger Than Bitcoin? - Ad

Buffett's Big A.I. Secret (Handle With Care) - Ad

Movies about Kamala Harris and Donald Trump hit theaters in October. Find out the differences between the movie and why one candidate wants a ban.

Scaramucci Says Melania Trump Would Prefer Kamala Harris To Donald Trump As President

Anthony Scaramucci has claimed that Melania Trump would rather see Kamala Harris win the presidency than her own husband.

This Is How the AI Bull Market Ends

This Is How the AI Bull Market Ends - Ad

The AI bull market as we know it right now will end...And all the big popular AI stocks investors are piling into right now will NOT be the where the biggest returns will come from. And for investors who don't know how the market is changing and where it's going...They could end up left behind.

Americans Split On Election Result Acceptance Between Harris And Trump, Here Is The Candidate They Think More Likely To Accept Voters' Verdict

A survey conducted by ABC News/Ipsos has shed light on the American public's confidence in the acceptance of the upcoming November presidential election results by Vice President Kamala Harris and former President Donald Trump.

Trump Vs Harris: Who Do Russia, Iran And China Favor In 2024 Election? Intelligence Officials Weigh In

U.S. intelligence officials believe that Russia, Iran and China have preferred candidates in this year's U.S. presidential election. Each of these foreign powers has different views on who would best serve their interests.

New "Living Missile" to Replace Nuclear Missiles

New "Living Missile" to Replace Nuclear Missiles - Ad

CBS News Reports: "It's an entirely new type of weapon." The New York Times Reports: "No existing defense can stop it." And one small company is building them for the Pentagon!

Investigators say dispatching errors led to Union Pacific train crash that killed 2 workers

OMAHA, Neb. (AP) — Dispatching errors combined with the failure of two backup systems allowed a Union Pacific train to that had been parked on a side track for nine months in Southern California two years ago, killing an engineer and a conductor, according to a report issued Thursday.

Psychedelic Church Opens In Colorado Springs, CO Making History

Meet Colorado's first psychedelic church in Colorado Springs, where magic mushrooms and DMT are used for healing and creating community.

Exposed: Democrats' Secret Plan to Keep Trump Out of the White House

Exposed: Democrats' Secret Plan to Keep Trump Out of the White House - Ad

Former advisor to the CIA, the Pentagon and the White House Jim Rickards just released this shocking new video exposing Democrats' secret plan to keep Trump out of the White House... Even if he wins the election. See the details and learn how to prepare... Because this could trigger the biggest constitutional crisis in our nation's history.

Turkey seeks to join the BRICS bloc of emerging economies, a Kremlin official says

MOSCOW (AP) — NATO member Turkey has applied for membership in the , a senior Kremlin official said Wednesday, as Russia and China seek to counter the West's global influence.

Campbell wants to say goodbye to the 'soup' in its name. It isn't the first to make such a change

NEW YORK (AP) — Campbell is ready to drop the soup — at least from its official name.

Do Not Day Trade (Do This Instead)

Do Not Day Trade (Do This Instead) - Ad

Forget day trading (especially in markets like these). Trade OVERNIGHT instead! I've uncovered a shocking way to take 100% certain events (mandated by the U.S. Government)...And target OVERNIGHT payouts like: 253%... 327%... Even 383%! Enough to potentially hand you profits of $25,300... $32,700... heck even $38,300!

Major power outage hits Venezuela's capital, with Maduro government blaming 'sabotage'

CARACAS, Venezuela (AP) — Venezuelans awoke Friday to a major power outage in the capital, Caracas, and several states.

Polling Veteran Nate Silver Says Kamala Harris Got The Debate She Wanted As Fatigued Trump Couldn't Bring His 'A-Game' After The Initial Momentum

Vice President Kamala Harris seems to have emerged as the winner of the first presidential debate between her and Republican cand

Don't Buy Another Stock Until You See This

Don't Buy Another Stock Until You See This - Ad

We face a widespread collapse unlike anything we've seen in our lifetimes. By taking 4 simple steps today you can stay safe from the coming catastrophe. Which is why I want to rush you my new book "Midnight in America" FOR FREE.

China's Chipmaking Investments Top US, Taiwan, South Korea Combined: What It Means For Nvidia, ASML

China invests $25 billion in chipmaking equipment, surpassing spending by South Korea, Taiwan, and the U.S. This could impact top chipmakers and suppliers like NVIDIA and ASML.

Maryland awards contract for Francis Scott Key Bridge rebuild after deadly collapse

BALTIMORE (AP) — Maryland transportation leaders on Thursday approved a contract for rebuilding the Francis Scott Key Bridge several months after the 1.6-mile (2.6-kilometer) steel span of a massive container ship that lost power and crashed into one of its supporting columns.

My No. 1 Oil Play for 2024

My No. 1 Oil Play for 2024 - Ad

Do you own oil and gas stocks? Or are you thinking about buying some? If so, you need to see my #1 oil play for 2024. But it's NOT oil stocks, futures, or anything you've likely heard about. Rather, it's an unusual way to potentially bank monthly income from the oil and gas markets.

Bill Ackman And Elon Musk Blast Kamala Harris For Her Social Media Posts During Debate With Trump: 'Even Her Tweets Are Not Her Own'

Recent comments by prominent figures have sparked debate over Vice President Kamala Harris's social media activity and public engagement. Bill Ackman, CEO of Pershing Square Capital Management, raised questions about Harris's involvement in her own X posts during the recent Republican primary debate.

Trump courts conservative male influencers to try to reach younger men

WASHINGTON (AP) — At first glance, there's little that a 78-year-old former president and a 23-year-old internet personality might have in common.

Elon Musk: Without This Company, "Civilization Will Crumble"

Elon Musk: Without This Company, "Civilization Will Crumble" - Ad

Did you know that there's an investment that will give you the opportunity to collect "royalties" every time Nvidia makes a chip? Ex-Wall Street CEO Dylan Jovine calls this "the easiest windfall from the AI revolution." Even ChatGPT founder Sam Altman says AI depends on this company's work...

Tesla Considers Warner Bros Studio For Highly Anticipated Robotaxi Unveiling Event: Report

Tesla is reportedly looking to hold its robotaxi unveiling event at Warner Bros. Discovery's movie studio in Burbank, California.

Nvidia ETFs Split In Pre-Market After Jensen Huang-Led Chip Giant Exceeded Q2 Expectations

The earnings report revealed that Nvidia had surpassed expectations for second quarter driven by strong data center revenue.

What If Kamala Wins? The 3 Words That Will Change Everything

What If Kamala Wins? The 3 Words That Will Change Everything - Ad

The same team that predicted Biden's downfall ... now warns of a new threat. Learn how to safeguard your future.

Firm offers bets on congressional elections after judge clears way; appeal looms

ATLANTIC CITY, N.J. (AP) — You can now do more than just vote in this fall's Congressional elections: You can bet on them, too.

Kroger and Albertsons prepare to make a final federal court argument for their merger

PORTLAND, Ore. (AP) — Kroger and Albertsons were expected to present their closing arguments Tuesday in a on their proposed merger, which the federal government hopes to block.

September 23 - The Biggest Crypto Event in History

September 23 - The Biggest Crypto Event in History - Ad

According to the man who called every major market top and bottom for the last 29 years... A single event triggering on September 23rd will send the crypto market soaring. But what's more exciting... is that this event could send a small sector of the crypto market soaring 5X, 25X, and even 100X higher in just days.

Kentucky's Massive Cannabis Licensing Response: 5,000 Applications Filed Before Deadline

Nearly 5,000 medical cannabis license applications were filed in Kentucky by the August deadline, showing immense interest.

A Palestinain TikTok star who shared details of Gaza life under siege is killed by Israeli airstrike

CAIRO (AP) — It was another day of , another day of what 19-year-old Palestinian TikTok star Medo Halimy called his “Tent Life."

Why We Just Sold Half of Our Stocks

Why We Just Sold Half of Our Stocks - Ad

We've already sold all or part of 52 different stocks this year - more than any other period in our firms' history. That's because there are five cracks forming below this market that threaten us with a widespread collapse. We could see the market tumble by 50% and unemployment will triple.

Young girls are using anti-aging products they see on social media. The harm is more than skin deep

SACRAMENTO, Calif. (AP) — When she was in fifth grade, Scarlett Goddard Strahan started to worry about getting wrinkles.

Another New Jersey offshore wind project runs into turbulence as Leading Light seeks pause

Another offshore wind project in New Jersey is encountering turbulence.

The No. 1 AI Stock of 2024 (Not Nvidia)

The No. 1 AI Stock of 2024 (Not Nvidia) - Ad

It's not Nvidia, Meta Platforms, Alphabet, or Amazon. But thanks to a recent major deal, an under-the-radar stock could become the No. 1 winner of the AI boom. "This company just teamed up with one of the biggest power players in the AI industry... yet you can still buy it for just one-twelfth the price of Nvidia -- the time to buy is NOW," says Marc Chaikin.

'FBI Raided My Homeâ€¦:' Melania Trump Slams FBI For Invading Her Privacy While Searching For 'Top Secret' Documents At Donald Trump's Mar-A-Lago Residence

In a recent video promoting her upcoming memoir, former First Lady Melania Trump issued a stark warning to Americans about the actions of the Federal Bureau of Investigation (FBI) during a raid on her Florida residence in August 2022.

Mark Cuban Says He Would Buy Rupert Murdoch's Fox News And Elon Musk's X But There Are Some Obstacles: 'If I Had Enoughâ€¦ I'd Buy It In A Heartbeat'

Mark Cuban has expressed interest in acquiring both Fox News and Elon Musk's X, but he acknowledges financial limitations for Fox News and doubts Musk would sell his social media platform.

5 Stocks That Could Triple in a Week

5 Stocks That Could Triple in a Week - Ad

What if I told you that I have a system that has detected when these tiny stocks are on the verge of exploding... And what if I told you my system has targeted 5 new stocks that could triple as early as next week? Pay just $5 for a full year of Stealth Trades before this deal disappears!

Harris Vs. Trump: Vice President On Top By Three Points, How Her Lead Compares To The 2020 Election At This Point In Race

A new 2024 election poll of likely voters shows a three-point lead for Kamala Harris. There is good and bad news from the poll for the vice president.

Trump's Attorney General William Barr Accuses Biden-Harris Admin Of Politicizing Cannabis Legalization, 'Ignoring Legal Standards, Scientific Evidence'

Casting aspersions on cannabis reform, Barr did not mention Donald Trump who recently said he supported weed reform in Florida.

U.S. Loses to China in Shocking WAR GAMES

U.S. Loses to China in Shocking WAR GAMES - Ad

Pentagon says new "living missile" key to winning a future conflict. Investors stand to reap 35,960% on shares of the small defense contractor that makes powerful new weapon.

Johnson & Johnson-Spin Off Kenvue Wins Lawsuit Over Pain Killer Tylenol 'Rapid Release' Gelcaps

Kenvue defends against a consumer lawsuit alleging that its Tylenol "Rapid Release" gelcaps did not relieve pain faster than regular tablets. A federal judge ruled the claims were preempted by FDA regulations.

Trending Now

Trump Vs. Harris: Election Forecaster With 9 Out Of 10 Accurate Predictions Makes Final Call, Says This Person Will Be 'Next President Of The United States'

A 10,000% Dividend?!? - Ad

2024 Oil Boom - Ad

Kamala Harris To Unveil $50K Tax Deduction For Small Businesses To Counter Trump's Economic Policies As She Looks To Win Over Middle-Class Voters

Nvidia Set To Reach $10 Trillion Valuation As Blackwell Expected To Propel Chip Maker With 'Fireworks Again' In 2025, Analyst Predicts

Jerome Powell-Led Investigation Finds Atlanta Fed President Raphael Bostic Breached FOMC Rules, Created 'Conflict Of Interest' Over Securities Trading Violations