OpenAI Pursues Global Backers for $40bn AI Push
OpenAI is holding discussions with a range of international investors—including Saudi Arabia's Public Investment Fund, Reliance Industries of India, and Abu Dhabi's MGX—to raise around $40 billion in fresh equity. The move marks a pivotal effort to underwrite its ambitious next-generation AI models and the expansive Stargate infrastructure initiative. The round is being led by Japan's SoftBank, which aims to shepherd significant capital into artificial intelligence advancements.
At the centre of these discussions is the Public Investment Fund of Saudi Arabia, known for channeling billions into transformative technologies. Simultaneously, Reliance Industries and MGX are in separate talks to contribute 'hundreds of millions' each, according to individuals familiar with the negotiations. This depth of interest underscores a broader trend among sovereign wealth funds and major corporations to secure stakes in frontier AI ventures.
OpenAI CEO Sam Altman has pursued diplomatic and investment channels to fortify the company's capital base. Earlier this year he met India's IT Minister to explore the establishment of a low-cost, India-focused AI ecosystem. His itinerary also includes plans for Abu Dhabi visits aimed at deepening engagement with MGX around funding prospects.
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Beyond these players, OpenAI is also courting U.S.-based investors such as Coatue Management and Founders Fund, each reportedly targeted for at least $100 million. The company is aiming to raise a further $17 billion by 2027, in addition to this current round.
The fundraising drive is instrumental to advancing both OpenAI's model development and a major infrastructure plan known as Stargate. The project is intended to supercharge compute capacity and facilitate the training of increasingly large-scale AI models. Under SoftBank's leadership, it represents one of the largest investment efforts in AI to date.
Critically, this capital will be deployed to strengthen OpenAI's global presence, particularly in emerging AI hubs like India and the Gulf region. In addition to funding talks, the company has launched its first overseas arm, OpenAI Academy India, designed to support the IndiaAI Mission and deliver AI training to students, government officials, educators, developers and non-profits.
OpenAI's expansion in India includes enhanced API credit grants to organisations such as Rocket Learning, Noora Health and Udhyam. These grants aim to catalyse the deployment of AI-powered applications in healthcare, early learning, agriculture, and disability inclusion. Jason Kwon, OpenAI's Chief Strategy Officer, highlighted that the company now counts India among its top 10 developer markets and that the country has the second-largest user base for ChatGPT globally.
The confluence of sovereign wealth funds, national conglomerates and tech-led private investors reflects a maturing AI funding landscape. Saudi Arabia and Abu Dhabi have already made headlines investing heavily in chipmakers and AI startups, positioning themselves as strategic backers in the AI arms race. Meanwhile, India's Reliance Industries, which already has stakes in digital and tech ventures, is extending its scope into foundational AI infrastructure—a move aligned with national ambitions to build an affordable AI ecosystem.
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International analysts emphasise that OpenAI's outreach is both tactical and symbolic. Tactically, the funds would finance compute-heavy model training and accelerate the rollout of upcoming offerings, including multimodal systems and enterprise-focused AI. Symbolically, alignment with global strategic funds lends political heft and market validation—especially important as competitors like Google DeepMind and Meta scale their AI capabilities.
While conversations remain ongoing and non-binding, the inclusion of diverse investors signals a shift from U.S.-centric tech financing models. One source detailed that each of these investors could commit 'hundreds of millions' toward the fundraising total, reinforcing OpenAI's ambitions for capital depth and geographic investment breadth.
OpenAI's reliance on SoftBank as lead investor highlights the Japanese group's role in shaping AI's future commercial landscape. SoftBank, which has invested heavily in robotics, AI, and semiconductor startups, would likely coordinate the round and manage investor relations across jurisdictions.
Market observers note that the desire to raise $17 billion additional capital by 2027 reflects OpenAI's long-term strategy: to remain at the forefront of AI research and deployment. As AI models grow in complexity and scale, compute infrastructure becomes one of the largest cost drivers, requiring continual investment.
Critics caution that the convergence of global capital and strategic interests may expose AI developers to external influence or geopolitical pressure. However, supporters argue that diversified investment reduces dependency on any single market or regulatory regime.
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