OpenAI Nears $40B SoftBank-Led Round, Eyes $300B Valuation

OpenAI is reportedly on the verge of closing a $40 billion funding round led by SoftBank, pushing the company’s valuation to an unprecedented $300 billion. If finalized, it would mark the largest venture capital round in history—surpassing OpenAI’s previous record-setting raise of $6.6 billion in October 2024.

A Historic Investment Round

According to a report from Bloomberg, SoftBank is expected to invest in two phases:

• $7.5 billion upfront, with an additional $2.5 billion from a broader investor syndicate

• A second phase later this year: $22.5 billion more from SoftBank and $7.5 billion from other backers

Participating firms reportedly include:

• Magnetar Capital (potential $1B contribution)

• Coatue Management

• Founders Fund

• Altimeter Capital Management

The round underscores massive investor confidence in OpenAI’s role in shaping the future of artificial intelligence.

Revenue Growth—and Rising Costs

Citing sources familiar with the matter, Bloomberg reports that OpenAI generated $3.7 billion in revenue in 2024, with projections to more than double to $29.4 billion in 2025.

Despite soaring revenue, the company still faces steep operational costs—largely from GPUs, data centers, and top-tier AI talent. OpenAI reportedly does not expect to be cash-flow positive until 2029, highlighting the resource-heavy nature of developing frontier AI models.

What This Means

This funding round reflects not only OpenAI’s meteoric growth but also the broader momentum in the AI sector. A $300 billion valuation would place OpenAI among the world’s most valuable private companies, accelerating its ability to scale infrastructure, develop new models, and expand enterprise services.

It also signals a shift in how major investors view AI: not just as a frontier technology, but as a long-term economic engine worth unprecedented capital. As OpenAI continues to grow, its decisions on spending, scaling, and partnerships will have ripple effects across the entire industry.

However, the long road to profitability also signals that even the most prominent AI labs face real economic pressures—especially as demand grows and competition intensifies.

Editor’s Note: This article was created by Alicia Shapiro, CMO of AiNews.com, with writing, image, and idea-generation support from ChatGPT, an AI assistant. However, the final perspective and editorial choices are solely Alicia Shapiro’s. Special thanks to ChatGPT for assistance with research and editorial support in crafting this article.