OpenAI, due to Amazon's large-scale investment, the company's value approaches 1.2 quadrillion Korean won

TechubNews

OpenAI, the developer of ChatGPT, recently raised a new investment of $110 billion, significantly boosting the company’s valuation. Several companies, including American tech giants Amazon and SoftBank, participated in this round of funding, bringing OpenAI’s corporate valuation to $840 billion, approximately 1.2 quadrillion Korean won. This is the largest funding round since the company’s founding and is expected to further strengthen OpenAI’s market position and influence.

Amazon contributed $50 billion in this round, playing a key role. Of this, $15 billion will be executed immediately, with the remaining $35 billion expected to be executed next year after certain conditions are met. Although specific conditions have not been disclosed, outside speculation suggests they may include an initial public offering (IPO) or the realization of artificial general intelligence (AGI). As part of the partnership, OpenAI plans to utilize Amazon’s data center infrastructure and jointly develop customized AI models.

SoftBank also invested an additional $30 billion, increasing its total investment in OpenAI to $64.6 billion. SoftBank will be able to convert its preferred shares into common stock when OpenAI goes public in the future, indicating the company’s valuation could rise further. Nvidia also invested $30 billion in this funding round, collaborating with OpenAI to develop next-generation AI technologies.

OpenAI’s rapid growth has sparked both market excitement and concerns about the AI industry. In the short term, the sharp increase in corporate value may reignite debates about an AI bubble. However, CEO Sam Altman emphasized the potential for AI to generate new revenue and officially announced plans to go public. This contrasts with the company’s denial of IPO plans last year and is seen as a strategic move to solidify its position in the AI market.

These investments and collaborations are expected to drive OpenAI’s technological development and market expansion. However, the risks associated with rapid growth and large-scale investments must also be managed carefully, as the entire AI ecosystem will continue to attract close attention.

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