Openai Eyes $30B Raise at Lower $1.25T Valuation Before IPO

WHO:

CNBC - Investors from the United Arab Emirates and Coatue are leading OpenAI’s funding round.

CNBC - OpenAI CFO Sarah Friar told employees the company “will be a public company in 2027”; CEO Sam Altman said “right now would be an ill-advised moment to go public.”

SK hynix - Solidigm was evaluating funding options, including an IPO, to finance additional U.S. production facilities.

Financial Times - OpenAI is seeking investors for a fundraising round.

TechCrunch - OpenAI is working on a new funding round.

WHAT:

CNBC - The $1.25 trillion valuation excludes the new capital raised.

CNBC - OpenAI is negotiating a commercial deal for additional computing capacity from the United Arab Emirates.

CNBC - OpenAI told investors it is aiming to secure signatures by the end of next week; the round’s final size remains undetermined.

CNBC - OpenAI told investors in February it was targeting roughly $600 billion in total compute spending by 2030.

CNBC - OpenAI confidentially filed its prospectus with the Securities and Exchange Commission in June.

CNBC - Anthropic confidentially filed its prospectus with regulators in June and is meeting prospective investors; it reportedly seeks a $1.5 trillion to $2 trillion IPO valuation and closed a $65 billion funding round at a $965 billion valuation.

SK hynix - Solidigm discontinued its review of potential pre-IPO and IPO options.

Financial Times - OpenAI cut its valuation target to $1.25 trillion, from $1.4 trillion.

Financial Times - The company had floated a $1.4 trillion valuation, according to documents seen by the Financial Times.

TechCrunch - OpenAI is working on a $30 billion raise at a $1.25 trillion valuation ahead of an IPO.

TechCrunch - A valuation above $1 trillion in the round would make OpenAI the most highly valued private company ever.

WHY:

CNBC - Investors approached OpenAI with funding proposals in September, prompting discussions of a new round.

SK hynix - Solidigm cited financial-market conditions and share-price trends in deciding an IPO might not be the most beneficial option for SK hynix and its existing shareholders.

Financial Times - OpenAI lowered its valuation target after facing resistance from some investors.

HOW:

CNBC - OpenAI is positioning the financing as an “opportunistic” bridge ahead of a potential IPO.

SK hynix - The company will continue assessing investment timing, scale, and financing methods, and exploring alternatives to support Solidigm’s growth and enhance shareholder value.

Financial Times - The Financial Times reported the earlier $1.4 trillion valuation based on documents it had seen.

TechCrunch - The proposed fundraising is intended to take place ahead of an IPO.

(UPDATED October 23, 2026 13:19 UTC)

OpenAI is seeking a new funding round, with investors from the United Arab Emirates and Coatue leading discussions. The company is targeting a $1.25 trillion valuation, down from $1.4 trillion after some investors pushed back; the figure excludes the new capital raised. OpenAI is reportedly seeking $30 billion, though the round’s final size is still undecided, and it aims to secure investor signatures by the end of next week. The company is presenting the financing as an opportunistic bridge ahead of a possible IPO. CFO Sarah Friar told employees OpenAI will be a public company in 2027, while CEO Sam Altman said going public now would be ill-advised. OpenAI has also filed a confidential prospectus and is negotiating for additional computing capacity from the UAE. Separately, Solidigm has stopped reviewing IPO options, citing market conditions.

(UPDATED October 23, 2026 04:09 UTC)

OpenAI is seeking investors for a funding round that could raise $30 billion at a $1.25 trillion valuation, ahead of a planned IPO. The company had previously floated a $1.4 trillion valuation, but lowered its target after meeting resistance from some investors. If the round values OpenAI above $1 trillion, it would become the most highly valued private company ever. Separately, SK hynix’s Solidigm unit has dropped its review of possible pre-IPO and IPO options. Solidigm had been considering a public listing to help finance additional production facilities in the United States. The company said market conditions and share-price trends made an IPO potentially less beneficial for SK hynix and its existing shareholders. SK hynix will continue weighing the timing and scale of investment, along with financing options, while exploring other ways to support Solidigm’s growth and shareholder value.

(UPDATED October 23, 2026 00:10 UTC)

OpenAI is pursuing a new funding round, seeking to raise $30 billion at a valuation of $1.25 trillion. That target is down from the $1.4 trillion valuation the company had previously floated. OpenAI lowered its expectations after some investors pushed back against the higher figure. The fundraising is being planned ahead of a potential initial public offering. If the round values OpenAI above $1 trillion, it would become the most highly valued private company ever. The earlier $1.4 trillion figure was reported based on documents seen by the Financial Times. The company’s revised target now puts the proposed round at a lower valuation, while still positioning it among the most valuable private businesses in the world.