OpenAI’s current and former employees are considering a massive $6 billion stock sale to investors including SoftBank Group and Thrive Capital. This strategic move could boost OpenAI’s valuation to an impressive $500 billion, up from $300 billion currently.
The proposed deal reflects OpenAI’s soaring growth in user base and revenue. It also highlights the fierce competition for talent in the AI sector.
Why It Matters Now
OpenAI’s valuation leap showcases its remarkable reputation, fueled by its flagship product, ChatGPT. The transaction highlights the company’s potential profitability. It also draws attention to the burgeoning rivalry within the artificial intelligence industry.
SoftBank, Thrive Capital, and Dragoneer Investment Group are leading the discussions. All three investment firms are existing OpenAI investors. The talks remain in early stages, and the size of the sale could change.
Strategic Growth Numbers
ChatGPT now features approximately 700 million weekly active users. This marks substantial growth from 400 million users in February. OpenAI doubled its revenue in the first seven months of this year, reaching an annualized run rate of $12 billion.
The company targets $20 billion in revenue by year’s end. This growth trajectory positions OpenAI as a dominant force in the AI landscape.
Market Impact and Competitive Edge
The secondary share investment comes on top of SoftBank’s commitment to lead OpenAI’s $40 billion funding round. That round values the company at $300 billion and remains ongoing. OpenAI recently secured $8.3 billion from a syndicate of investors.
This transaction permits employees, especially those affiliated with the company for over two years, to capitalize on their equity. The move enhances OpenAI’s talent retention strategy amid formidable offers from competitors like Meta.
Several OpenAI employees have exited for Meta this year, including Shengjia Zhao, a co-creator of ChatGPT. Companies are offering massive salaries to recruit AI talent from OpenAI and other startups.
CEO Vision for Infrastructure Investment
Sam Altman, CEO of OpenAI, has emphasized the need for colossal investments in AI infrastructure. OpenAI intends to allocate trillions of dollars on infrastructure to outstrip rivals and maintain leadership in artificial general intelligence (AGI).
“You should expect a bunch of economists to wring their hands and say, ‘This is so crazy, it’s so reckless,'” Altman said. “And we’ll just be like, ‘You know what? Let us do our thing.'”
What Business Leaders Should Know
The $500 billion valuation would make OpenAI the world’s most valuable startup, surpassing SpaceX. The company expects revenue to triple this year to $12.7 billion, up from $3.7 billion in 2024.
SoftBank is making a pivotal bet on OpenAI’s success. The Japanese conglomerate recently closed a separate $1 billion purchase of OpenAI employee shares at a $300 billion valuation.
This strategic liquidity maneuver allows OpenAI to augment capital without needing a public offering. The company maintains competitive momentum while preserving internal talent stability.
The secondary share sale comes after the release of GPT-5, OpenAI’s highly-anticipated model. The timing underscores OpenAI’s strategy to leverage investor demand while providing employee liquidity that reflects the company’s rapid growth.
Business leaders should note this approach as a blueprint for maintaining talent in competitive markets. The deal enables workforce liquidity while protecting existing investors’ stakes, creating a win-win scenario for all stakeholders.
