SoftBank Set to Lead Historic AI Investment in OpenAI
OpenAI is close to finalizing a $40 billion funding round led by SoftBank Group Corp., in what would become the largest private capital raise on record, as reported by Bloomberg. The deal is expected to value OpenAI at $300 billion, nearly double its previous valuation of $157 billion following an October 2024 raise. Participating investors reportedly include Magnetar Capital, Coatue Management, Founders Fund, and Altimeter Capital. Magnetar alone could invest up to $1 billion, according to sources familiar with the matter.
The transaction will take place in two phases: an initial $10 billion tranche, with SoftBank contributing $7.5 billion and the remaining $2.5 billion from a syndicate; followed by a $30 billion tranche later in 2025, with $22.5 billion from SoftBank and another $7.5 billion from partner firms. SoftBank has also committed billions to Stargate Project — a Texas-based joint venture involving OpenAI, Oracle, and MGX. This deal highlights intensifying capital flows into AI infrastructure and signals strong investor confidence in OpenAI despite industry-wide challenges in monetization and product innovation.
