The Startup OpenAI Closes a Deal Valued at an Incredible $80 Billion

In a recent deal, OpenAI achieved a valuation of at least $80 billion. Compared to a year ago, this has increased by over three times.

As per their statement, the venture firm Thrive Capital is leading a tender offer that involves the sale of current shares.

Through the agreement, employees’ firm shares can be purchased with cash rather than through a typical financing round.

OpenAI consented to a similar agreement earlier this year. Thrive Capital, Sequoia Capital, Andreessen Horowitz, and K2 Global, four venture capital firms, agreed to purchase OpenAI shares in a tender offer, valuing the company at approximately $29 billion.

It is well known that investors are keen to fund AI startups. Microsoft has now invested $13 billion in OpenAI, the San Francisco-based business, after contributing $10 billion in January of last year.

OpenAI is currently among the most costly tech firms globally, trailed only by ByteDance and SpaceX, according to CB Insights.