Nvidia joins OpenAI's new funding round, valuing the company at over $100 billion
Nvidia joins OpenAI's new funding round, valuing the company at over $100 billionNvidia, the world's largest chipmaker, is in talks to invest in a new funding round for artificial intelligence startup OpenAI, according to people familiar with the matter. The round is expected to value OpenAI at over $100 billion and could see support from three of the world's largest tech companies
Nvidia joins OpenAI's new funding round, valuing the company at over $100 billion
Nvidia, the world's largest chipmaker, is in talks to invest in a new funding round for artificial intelligence startup OpenAI, according to people familiar with the matter. The round is expected to value OpenAI at over $100 billion and could see support from three of the world's largest tech companies.
Apple and Microsoft are also said to be involved in the financing talks. Venture capital firm ThriveCapital has already committed to leading the round with an investment of about $1 billion. Nvidia is planning to invest about $100 million.
Microsoft, OpenAI's largest investor, has poured about $13 billion into the company. Microsoft has deeply integrated OpenAI's services into its Windows operating system and its Copilot AI platform, hoping to drive business growth with these features. Apple also maintains a partnership with OpenAI and plans to integrate ChatGPT into its new AI feature suite, AppleIntelligence.
Nvidia, the world's largest manufacturer of AI accelerators, provides critical infrastructure for developing and running AI tools like ChatGPT. Sales of Nvidia's chips have soared in the past two years, with the company reporting a more than doubling of revenue to $30 billion in its latest earnings report released on Wednesday. Nvidia expects third-quarter revenue to beat analysts' average estimates.
In a Wednesday memo to employees, OpenAI CFO Sarah Friar said the company was seeking new funding without disclosing details. OpenAI has reportedly been discussing raising money at a valuation of $100 billion or higher since at least December.
The funding would provide OpenAI with strong support, allowing the company to acquire more computing power and fund other operational expenses. The immense success of ChatGPT has triggered intense competition among tech companies, as they race to integrate AI technology into their products and fund other promising startups.
It is worth noting that regulatory bodies in the EU and the US have expressed concerns about Nvidia's dominance in the AI chip market and the close relationship between Microsoft and OpenAI, as Big Techs influence on AI grows.
Representatives from Nvidia, Apple, Microsoft, OpenAI, and Thrive declined to comment.
Tag: Nvidia joins OpenAI new funding round valuing the company
Disclaimer: The content of this article is sourced from the internet. The copyright of the text, images, and other materials belongs to the original author. The platform reprints the materials for the purpose of conveying more information. The content of the article is for reference and learning only, and should not be used for commercial purposes. If it infringes on your legitimate rights and interests, please contact us promptly and we will handle it as soon as possible! We respect copyright and are committed to protecting it. Thank you for sharing.
