OpenAI Closes Largest Venture Capital Funding Round

OpenAI has raised $6.6 billion in new funding, valuing the company at $157 billion, with major contributions from Thrive Capital, Microsoft, Nvidia, and SoftBank, marking the largest funding round in venture capital history. This funding aims to support OpenAI's mission to advance AI research and expand its computing capabilities, despite facing financial losses estimated over $5 billion this year. The funding comes amid controversy, as OpenAI has reportedly asked investors to refrain from supporting competitors like Elon Musk's xAI, leading to tensions with Musk. OpenAI's shift from a nonprofit to a for-profit model is integral to its strategy, allowing investors an option to withdraw if the transition is not completed in two years. Despite these challenges, OpenAI’s ChatGPT app has seen significant user growth, boasting over 250 million weekly users. Notably, Apple was in talks to invest but ultimately chose not to participate in this funding round.