One signal

OpenAI is reportedly nearing a funding round of up to $30bn at a $1.25tn valuation, with investors from the UAE and Coatue leading it, according to The Motley Fool. The article says OpenAI had initially sought a $1.5tn valuation.

That would still put the company’s reported valuation well above the $852bn it fetched in the spring. But this is a reported funding round, not a completed deal, and the valuation figures are not confirmed terms from OpenAI. The change in reported target is a useful signal to watch, not a verdict on the appetite for AI investment. Does a lower target suggest investors are getting more cautious, or is $1.25tn still an eye-watering vote of confidence?

Discuss: Does a lower reported valuation target suggest investors are getting more cautious, or is $1.25tn still an eye-watering vote of confidence?

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