OpenAI is nearing a new funding round of up to $30 billion at a pre-money valuation of $1.25 trillion, according to reports published on October 22 and 23 by CNBC, Bloomberg and the Financial Times.
The financing discussions involve investment firm Coatue Management and investors from the United Arab Emirates, with commitments expected by October 30. The final size and terms of the transaction remain under negotiation.
If completed at the proposed valuation, the financing would place the developer of ChatGPT among the world’s most highly valued private companies.
The $1.25 trillion figure represents OpenAI’s proposed valuation before receiving the new investment. If the company raises the full $30 billion under those terms, its implied post-money valuation would reach approximately $1.28 trillion.
OpenAI Revises Valuation Target
The latest discussions represent a change from the $1.4 trillion pre-money valuation previously considered during fundraising negotiations.
Bloomberg reported that OpenAI lowered the valuation under discussion by approximately $150 billion as talks progressed, following resistance from some prospective investors.
Morgan Stanley and Dragoneer had previously presented the higher valuation to potential investors, according to reports cited in the financial press.
The revised target comes amid increased scrutiny of artificial intelligence valuations and the substantial capital required to expand computing infrastructure.
OpenAI’s most recent completed financing, announced in March 2026, raised approximately $122 billion at a post-money valuation of $852 billion, according to Bloomberg.
The proposed new valuation would represent a significant increase from that earlier financing, even after the downward revision from the initial fundraising target.
Financing Could Provide Bridge to IPO
The potential transaction is being described as a financing bridge ahead of OpenAI’s anticipated initial public offering.
The company has reportedly filed confidential IPO paperwork, although the timing and terms of any public listing remain uncertain.
OpenAI Chief Financial Officer Sarah Friar has indicated internally that a listing could take place in 2027, according to reporting cited by TechCrunch.
The new financing would provide additional capital as OpenAI continues developing AI models, expanding its products and securing the infrastructure needed to operate its services.
Investors are also monitoring developments involving rival Anthropic, which is preparing for a potential public-market debut.
The timing of both companies’ financing plans comes as investors assess the financial outlook for businesses developing increasingly sophisticated AI systems.
UAE Investment Talks Include Computing Capacity
Alongside the fundraising negotiations, OpenAI is reportedly discussing a separate commercial arrangement that could provide access to additional computing capacity developed by its partners in the United Arab Emirates.
According to CNBC, the proposed agreement could give OpenAI the right of first refusal on certain new computing resources.
Such an arrangement could support the company’s infrastructure expansion as demand for AI computing continues to grow.
However, the commercial agreement remains under discussion, and details concerning its scale, financial terms and implementation have not been publicly confirmed.
The negotiations illustrate the growing role of computing infrastructure in financing decisions across the artificial intelligence industry.
