OpenAI nears $30 billion funding round that could value it at $1.25 trillion ahead of 2027 IPO

OpenAI is on the brink of a funding round that could push its valuation to $1.25 trillion, a step that would set the stage for a public listing as early as 2027. The San Francisco AI firm said it may raise up to $30 billion, though the exact size is still being finalised. Investors from the United Arab Emirates are leading the deal, with US‑based Coatue also participating. The round is described as an “opportunistic” bridge to a potential IPO. OpenAI began talks after investors approached it in September. The company told the investors on Thursday it hopes to have signed agreements by the end of next week. Alongside the cash, OpenAI is negotiating a commercial agreement that would add more computing capacity from the UAE. In February, the firm told investors it aims to spend about $600 billion on compute by 2030. The firm filed a confidential prospectus with the SEC in June but has not set a public debut date. CFO Sarah Friar told staff in August that OpenAI will be a public company in 2027, while CEO Sam Altman said in September that the market was not ready for an IPO now. Anthropic, OpenAI’s chief rival, also filed a confidential prospectus in June and is courting investors for an IPO. The company is targeting a valuation between $1.5 trillion and $2 trillion, after closing a $65 billion round at a $965 billion valuation in May.

Context

Large‑scale AI firms are seeking huge capital to buy more computing power, which drives higher valuations and fuels competition over who can bring the most advanced models to market.