OpenAI, the creator of ChatGPT, has secured a substantial $110 billion in funding from tech giants Amazon, SoftBank and Nvidia, propelling the company’s pre-money valuation to $730 billion.
Amazon leads this significant investment round, committing $50 billion, while Nvidia and SoftBank have each pledged $30 billion.
OpenAI co-founder and CEO Sam Altman confirmed the figures on Friday, noting that further investors are expected to join as the funding round progresses. Amazon's contribution will commence with an initial $15 billion, with the remaining er $35 billion to follow in the coming months, subject to pre-established conditions.
Altman highlighted the strategic importance of these new alliances, stating, "These partnerships expand our global reach, deepen our infrastructure, and strengthen our balance sheet so we can bring frontier AI to more people, more businesses, and more communities worldwide."
He also revealed ChatGPT's considerable reach, boasting over 900 million weekly active users and more than 50 million consumer subscribers.
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He further articulated a vision for the future of artificial intelligence, adding, "We are entering a new phase where frontier AI moves from research into daily use at global scale. Leadership will be defined by who can scale infrastructure fast enough to meet demand, and turn that capacity into products people rely on. This funding and these partnerships let us do both, and move faster on our mission to ensure AGI benefits all of humanity."
The multiyear partnership with Amazon will introduce advanced AI capabilities to enterprises and designate Amazon Web Services (AWS) as the exclusive third-party cloud distribution provider for OpenAI Frontier. This collaboration will also see OpenAI and AWS expand their existing $38 billion multiyear deal and an additional $100 billion over eight years, with plans to develop customised models for Amazon developers. OpenAI also confirmed an expanded partnership with Nvidia.
Despite these new alliances, OpenAI affirmed that its long-standing partnership with Microsoft, established in 2019, remains unaffected. A company statement clarified that the new funding and partners "in no way changes the terms" of its relationship with Microsoft, which "remains strong and central."
