OpenAI raises just $11 billion of its $30 billion target as big investors lose their AI appetite

OpenAI has secured about $11 billion of its $30 billion fundraising target in its latest round, with a valuation of $1.25 trillion rather than the $1.4 trillion it sought, according to the Wall Street Journal. The shortfall is attributed to fading interest from major investors amid a tech sell-off driven by weak quarterly results from Google, Amazon, and Intel, and OpenAI now plans to raise up to $20 billion from family offices and high-net-worth individuals. The company reportedly plans an IPO early next year, while rival Anthropic has been growing revenue faster and could go public as early as November.