OpenAI's Valuation Could Skyrocket to $90 Billion in the Secondary Market

OpenAI is currently in negotiations to potentially sell shares, a move that could elevate the company's valuation from $29 billion to an estimated $80 billion to $90 billion, as reported by the Wall Street Journal, which cites sources close to the discussions.

Instead of issuing new shares, the arrangement would allow employees to sell their existing equity, the Wall Street Journal noted.

In April, OpenAI secured over $300 million in funding from notable investors like Sequoia Capital, Andreessen Horowitz, Thrive, and K2 Global, maintaining the company's $29 billion valuation. This funding was in addition to a significant $10 billion investment from Microsoft announced earlier this year, which was finalized in January.

Since its launch about nine months ago, OpenAI’s ChatGPT, a groundbreaking generative AI assistant, has emerged as one of the leading technology achievements. It enables users to effortlessly create essays, poems, and summaries through straightforward text prompts. Recently, it was reported that ChatGPT will soon become more interactive, offering users the ability to engage in voice conversations with the chatbot.

With Microsoft holding a 49% stake in OpenAI, the artificial intelligence firm has projected a revenue target of $1 billion for 2023.

OpenAI has been contacted for further comments.