Microsoft-backed OpenAI has completed a deal that values the artificial intelligence company at $80 billion or more, the New York Times reported on Friday, citing people with knowledge of the deal.
The company would sell existing shares in a so-called tender offer led by venture capital firm Thrive Capital, the report said.
Under the deal, employees will be able to cash out their shares in the company rather than a traditional round of financing that would raise money for the business, the report added.
OpenAI did not immediately respond to Reuters’ request for comment.
It agreed on a similar agreement at the beginning of last year. Venture capital firms Thrive Capital, Sequoia Capital, Andreessen Horowitz and K2 Global have agreed to buy shares of OpenAI in a tender offer, valuing the company at around $29 billion, the report said.
The launch of ChatGPT OpenAI in late 2022 kicked off the buzz around AI and prompted companies to explore ways to harness the power of the technology.
OpenAI CEO Sam Altman has also reportedly been in talks to raise funding for the chip venture as it seeks to boost the world’s capacity to build chips to drive new AI-related tools.
