OpenAI Cuts Funding Target by $10 Billion as Investor Jitters Shake AI Markets

OpenAI has reduced its funding round target from $30 billion to $20 billion, according to reporting from The Financial Times. The company is now seeking to raise funds at a valuation of $1.25 trillion, which is lower than the previous $1.4 trillion valuation. The Financial Times reported that the first close for the round is expected to be below the $20 billion target.

The Wall Street Journal reported that OpenAI has secured $11 billion so far, noting that some large investors have responded in a tepid manner. Dev.to reports that a group of investors from the United Arab Emirates is expected to lead the round, and a later retail offering for wealthy individuals could potentially bring the total to the $20 billion goal. OpenAI has not commented on these figures.

Brief written by urgent.news from PYMNTS, Dev.to — 2 reports on this story. Machine-written — may contain errors; check the original before relying on it.