From Yahoo Finance · · 1m 20s
OpenAI's valuation mystery: $1.2T or $1.5T?
Major news outlets report conflicting figures for OpenAI's latest funding round, creating a $300 billion gap in valuations.
In brief
Major news outlets report conflicting figures for OpenAI's latest funding round, creating a $300 billion gap in valuations. OpenAI's exact valuation in its current funding round remains unclear, with Bloomberg and FT reporting $1.2 trillion while the New York Times claims $1.5 trillion. Originally reported by Yahoo…
The $300 billion valuation gap
Bloomberg and the Financial Times report OpenAI's funding round at $1.2 trillion, but the New York Times says $1.5 trillion. The discrepancy equals Procter and Gamble's entire market cap.
“The $300 billion difference is a lot of money. It's about the same as Procter & Gamble's market cap.”
OpenAI's valuation jumped fast
OpenAI's valuation has surged from $852 billion in March to somewhere between $1.2 and $1.5 trillion now. Investors are in early talks about the fresh funding round.
Pre-money or post-money confusion
The valuation discrepancy might stem from different accounting methods. One figure could be pre-money valuation while the other is post-money, or someone simply got it wrong.
“Maybe one figure is pre-money. Maybe one is post-money. Or maybe someone just got it wrong.”
OpenAI won't profit until 2030
OpenAI's revenue run rate is $40 billion annually, but the company won't turn profitable until 2030. Rival Anthropic already runs at $65 billion in revenue and may already be profitable.
Anthropic could eclipse OpenAI
Anthropic is planning an IPO that could value it at $2 trillion, potentially surpassing OpenAI's current fundraising valuation before either company goes public.
“Anthropic's $2 Trillion IPO Is Still On. And So Is the AI Race.”
What matters most
OpenAI's exact valuation in its current funding round remains unclear, with Bloomberg and FT reporting $1.2 trillion while the New York Times claims $1.5 trillion.
