OpenAI Races to Close $30 Billion Round Before Anthropic’s Mid-November IPO
OpenAI accelerates a $30 billion funding round to lock in capital before rival Anthropic lists shares in mid-November, potentially valuing the firm at over $1.4 trillion.
Key points
- OpenAI aims to finalize a $30 billion funding round before Anthropic’s planned mid-November initial public offering.
- The round could value OpenAI at more than $1.4 trillion, up from $852 billion in March.
- Revenue accounting differences complicate comparisons between OpenAI’s $50 billion annualized figure and Anthropic’s metrics.
OpenAI is accelerating efforts to close a $30 billion funding round, aiming to secure investor commitments before Anthropic lists its shares in mid-November. Reuters reported the strategy on Monday, citing two people familiar with the matter, noting that the round could value the ChatGPT maker at more than $1.4 trillion.
SoftBank Group and Abu Dhabi-based MGX, both existing backers, are in talks to participate in the new round. OpenAI also met with long-only funds and sovereign wealth funds last week. OpenAI and SoftBank declined to comment to Reuters, while Anthropic and MGX did not immediately respond to requests for information regarding the developing situation.
Financial Context and Valuation
The current talks build on the $1.4 trillion funding round first reported in early October. OpenAI was last valued at $852 billion in March, following a $122 billion round that included up to $50 billion from Amazon. The new capital injection is intended to help OpenAI meet infrastructure commitments and strengthen its financial position. This preparation is crucial if a weaker IPO market delays the company’s own planned listing for 2027, according to Reuters reporting.
Revenue Disputes and Market Competition
Both companies are courting similar investors, leading some to view OpenAI’s timing as an attempt to lock in money that might otherwise flow into Anthropic’s listing. OpenAI states its annualized revenue reached $50 billion after launching GPT-6 Astra, with expectations of $70 billion by year-end. Earlier Reuters reporting placed Anthropic’s annualized revenue at about $65 billion by July, though the two firms use different accounting methods.
OpenAI books sales after subtracting partner shares, while accusing Anthropic of inflating revenue by counting full contract values sold through cloud providers. Anthropic told Reuters it follows established accounting practices. Anthropic reported third-quarter revenue rose to $16.8 billion from $11.6 billion in the second quarter. Some investors argue for a debut valuation near $1.5 trillion rather than the $2 trillion Anthropic seeks, after results fell short of expectations.
What should you do?
Investors and industry watchers should monitor official filings from both companies for verified financial data and listing timelines. Professionals should distinguish between gross and net revenue reporting standards when comparing AI firm performance. Analysts should track SoftBank and MGX commitments as indicators of institutional confidence in OpenAI’s valuation.
What to do and how to stay safe: OpenAI
- Review official SEC filings and press releases from OpenAI and Anthropic for verified financial metrics rather than relying solely on secondary reporting.
- Analyze the specific accounting methodologies each company uses for revenue recognition to ensure accurate comparative assessments of their financial health.
- Monitor announcements regarding SoftBank and MGX participation in OpenAI’s funding round as a signal of broader institutional investor sentiment.
- Track updates on Anthropic’s IPO timeline and pricing discussions to understand potential shifts in market valuation for publicly traded AI entities.
Step-by-step guide: Prompt Injection Warning Signs: How to Spot AI Manipulation
General security guidance from the Threat Times newsroom. It is not confirmed advice from the organisations named in this story.
Frequently asked questions
Why is OpenAI rushing its funding round now?
OpenAI is trying to secure investor commitments before Anthropic lists its shares in mid-November to prevent capital from flowing to its rival.
What is OpenAI’s current valuation target?
The $30 billion round could value OpenAI at more than $1.4 trillion, a significant increase from its $852 billion valuation in March.
How do OpenAI and Anthropic differ in revenue reporting?
OpenAI subtracts partner shares from sales, while it accuses Anthropic of counting full contract values through cloud providers, though Anthropic claims it follows standard practices.
