OpenAI Set to Secure Landmark $40 Billion Funding Round
OpenAI is finalizing a massive $40 billion funding round led by SoftBank Group, which would be the largest funding round ever recorded according to PitchBook research data. Several major investment firms are in discussions to participate alongside SoftBank, including Magnetar Capital, Coatue Management, Founders Fund, and Altimeter Capital Management.
The deal will nearly double OpenAI's valuation to $300 billion including the new capital raised. This represents a significant jump from its previous valuation of $157 billion established during its October fundraising effort.
Evanston, Illinois-based hedge fund Magnetar Capital may contribute up to $1 billion to the funding round, according to multiple sources familiar with the matter who requested anonymity due to the private nature of the information.
The funding will be structured in two separate tranches. The first portion includes a $7.5 billion investment from SoftBank alongside $2.5 billion from an investor syndicate. A second tranche of $30 billion will follow later this year, consisting of $22.5 billion from SoftBank and $7.5 billion from the syndicate.
When approached about the funding round, representatives from OpenAI, Magnetar Capital, and Founders Fund declined to comment. Coatue Management and Altimeter Capital Management did not provide immediate responses to requests for comment. SoftBank also declined to comment on the matter.
Beyond this funding round, SoftBank has made additional commitments of billions to the Stargate Project. This Abilene, Texas-based joint venture involves multiple partners including OpenAI, Oracle, and MGX.
The funding round's participants include:
- SoftBank Group (lead investor)
- Magnetar Capital
- Coatue Management
- Founders Fund
- Altimeter Capital Management
As OpenAI raises new capital, the company has also asked the Trump administration to permit AI companies to use copyrighted material for training their models. The request was part of a proposal submitted Thursday for the President's "AI Action Plan," framing copyright reform as essential for maintaining U.S. leadership in artificial intelligence against global competitors.
