Stripe clinches over $7 billion deal to buy AI firm OpenRouter

Stripe has reached a deal to acquire AI firm OpenRouter for more than $7 billion, according to sources familiar with the matter. This acquisition, announced after OpenRouter raised funds at a $1.3 billion valuation, highlights the importance businesses place on cost-effective AI solutions. The deal could bolster Stripe's position in the rapidly expanding artificial intelligence sector.

The final purchase price may vary. Discussions about the acquisition were shrouded in confidentiality as the information is not yet public. Stripe declined to comment on the rumors, while OpenRouter also declined to speak on the subject. OpenRouter, founded in 2023, offers developers access to hundreds of AI models, enabling them to select the most efficient and cost-effective options.

The New York-based company has garnered significant investment from notable Silicon Valley firms such as CapitalG, Andreessen Horowitz, and Menlo Ventures. OpenRouter has secured over $150 million in funding to date. The startup's growth aligns with heightened attention to AI costs, as Chinese firms offer affordable alternatives to the widely recognized models of companies like Anthropic and OpenAI.

OpenRouter currently serves 8 million developers, who utilize it to access over 400 AI models. The company's expansion is primarily driven by developers experimenting with diverse models when integrating agentic capabilities into their software. OpenRouter also provides services for backup access and identifying popular options within the tech ecosystem.

Earlier this year, OpenRouter's CEO, Alex Atallah, likened the startup to Stripe, as Atallah previously co-founded OpenSea, an NFT marketplace that raised over $400 million in funding but experienced a decline in usage. Atallah left OpenSea in July 2022 and founded OpenRouter shortly after.