•  OpenAI, supported by Microsoft, has recently concluded a transaction, as reported by the New York Times, elevating the company’s valuation to $80 billion or more. This significant valuation was achieved through the sale of existing company shares in a tender offer led by venture firm Thrive Capital.

•  In a departure from conventional fundraising practices, this arrangement provides OpenAI employees with the opportunity to monetize their shares, distinguishing it from traditional capital-raising methods.

•  Last year, a similar agreement valued OpenAI at approximately $29 billion, with prominent venture capital firms such as Thrive Capital, Sequoia Capital, Andreessen Horowitz, and K2 Global participating in a tender offer to acquire OpenAI shares.

Microsoft-backed OpenAI has finalized a transaction that places the artificial intelligence enterprise at a valuation of $80 billion or higher. The deal involves the sale of existing company shares in a tender offer spearheaded by venture firm Thrive Capital, according to sources cited by the New York Times.

Unlike conventional fundraising rounds aimed at garnering capital for business operations, this arrangement enables employees to monetize their shares in the company. This marks a departure from the norm, as noted in the report.

Notably, a similar agreement was reached early last year, with venture capital heavyweights Thrive Capital, Sequoia Capital, Andreessen Horowitz, and K2 Global participating in a tender offer to purchase OpenAI shares. This previous deal valued the company at approximately $29 billion.

The introduction of OpenAI’s ChatGPT in late 2022 has generated significant excitement within the AI sphere, prompting companies to explore strategies for leveraging this transformative technology.

In addition to these developments, OpenAI CEO Sam Altman has reportedly been engaged in discussions to secure funding for a chip venture, aiming to bolster global chip manufacturing capabilities to support the advancement of new AI-driven tools.

Moreover, the creator of ChatGPT revealed its latest advancement in generative artificial intelligence (AI) “Sora”: a tool capable of instantly generating short videos in response to written commands.

The tool remains unreleased to the public, and OpenAI has disclosed only minimal details regarding its construction.