OpenAI reportedly in talks with UAE capital for participation in $30 billion funding; multiple funds may form a consortium to inject up to $10 billion.

OpenAI is in talks with several UAE investment funds, including Abu Dhabi's MGX, to secure financing, hoping they will become major investors in a new funding round of at least $30 billion, according to people familiar with the matter. The funds in question may form an investment consortium, with a combined contribution of up to $10 billion. BlackRock is also discussing participation in this round and may invest alongside the consortium. The financing is still in progress, and the final investment size and participants may change. In addition to UAE capital and BlackRock, OpenAI has also held discussions with existing investor the University of California endowment fund about participating in the financing, while Thrive Capital and Andreessen Horowitz have also discussed the possibility of additional investment. According to previous reports, OpenAI is seeking to raise at least $30 billion at a valuation of about $1.4 trillion, and has postponed its initial public offering (IPO) plans to at least next year in order to focus on AI safety work. In March of this year, OpenAI had just completed a funding round of $122 billion, at which time the company was valued at $852 billion. If this deal is completed as planned, its valuation will have climbed sharply in about half a year. Unlike typical venture capital financing, people familiar with the matter said OpenAI has not yet determined a lead investor for this round, but has already presented the $1.4 trillion pre-money valuation to potential investors as a fixed price. Normally, investment institutions submit financing terms and negotiate with the company over valuation and lead investment arrangements. As OpenAI seeks support from Middle Eastern capital, the infrastructure costs required to develop and run frontier AI modelssuch as chips, data centers, and electricitycontinue to rise. Leading AI companies, including OpenAI and Anthropic, have repeatedly turned to deep-pocketed Middle Eastern investors in recent years to meet massive capital needs. MGX has previously participated in financing for OpenAI and Anthropic. Earlier this year, this Abu Dhabi investment institution also raised nearly $50 billion to accelerate investment in AI infrastructure and technology. If UAE funds ultimately become major contributors to OpenAI's current funding round, it will further highlight the participation of Middle Eastern capital in the global AI investment boom.