OpenAI is reportedly in talks to secure a massive $40 billion investment, which could push its valuation to an estimated $340 billion.
If the deal goes through, it would more than double the company’s previous valuation of $157 billion, achieved in October 2024.
Sources familiar with the discussions reveal that Japanese investment giant SoftBank is leading the negotiations, with plans to contribute between $15 billion and $25 billion into OpenAI.
The investment is expected to support OpenAI’s ongoing expansion and financials, particularly its artificial intelligence infrastructure project, Project Stargate.
Project Stargate, a joint effort between OpenAI, SoftBank, and Oracle, aims to build large-scale AI data centres across the United States. The initiative is designed to enhance AI computing infrastructure and ensure OpenAI remains at the top of artificial intelligence development.
Even with the growth, OpenAI has been dealing with financial challenges. Reports disclose the company recorded losses of approximately $5 billion in 2024, against revenues of $3.7 billion. The fresh capital injection could help sustain operations and accelerate research and development efforts.
Meanwhile, competition in the AI industry is increasing. Chinese AI firm DeepSeek has gained attention in the U.S. market, flaring discussions about cost-efficient AI development. OpenAI’s CEO, Sam Altman, acknowledged the competition, stating, “This is a reminder of the level of competition and the need for democratic AI to win.”
If OpenAI successfully secures the funding, it would make the company one of the most valuable AI companies globally.