Apple and Nvidia Eye Major Investments in OpenAI, Valuing AI Leader at $100 Billion

Apple and Nvidia are reportedly in discussions to become significant investors in OpenAI, the creator of ChatGPT, as part of a new fundraising round that could value the AI powerhouse at $100 billion. According to sources cited by the New York Times, the deal could be led by Thrive Capital, an earlier investor in OpenAI. Also read about OpenAI in Talks for Funding Round Valuing It Above $100 Billion.

Bloomberg was the first to report Nvidia’s potential involvement, while The Wall Street Journal broke the news of Apple’s interest. Microsoft, which already owns 49% of OpenAI, is also expected to participate in the funding round.

OpenAI, despite generating over $3.4 billion in annualized revenue earlier this year, is projected to lose $5 billion by the end of 2024 due to its aggressive expansion in AI training and staffing. The additional capital from Apple, Nvidia, and other investors would provide crucial support for these efforts.

Both Apple and Nvidia have strong connections to OpenAI. The AI company relies heavily on Nvidia GPUs to run and train its generative AI models, while Apple recently announced plans to integrate ChatGPT into iOS as part of its upcoming AI suite, “Apple Intelligence.” This integration is expected to be a cornerstone of Apple’s AI strategy moving forward.