SoftBank is close to finalizing a deal to invest up to $40 billion in OpenAI, valuing the AI startup at approximately $260 billion, CNBC reports. Part of the funds will go toward financing Stargate, a joint venture between SoftBank, OpenAI, and Oracle.
Investment Details and Timeline
According to CNBC, the first tranche of the investment will be deposited into OpenAI’s bank account this spring, with the full amount transferred over 12 to 24 months. The final investment sum is $15 billion higher than the amount discussed in negotiations a week ago, adds NIXSOLUTIONS.
Other investors are also contributing to the financing round, covering about a quarter of the total amount, according to the New York Times. This deal highlights strong investor confidence in OpenAI, even as AI stocks dip following the emergence of cost-efficient models from China’s DeepSeek.
OpenAI’s Rising Market Value
With this funding, OpenAI is set to become one of the world’s most valuable private companies, alongside SpaceX and TikTok owner ByteDance. Meanwhile, SoftBank and OpenAI recently launched SB OpenAI Japan, a joint venture to provide AI services to corporate clients in Japan. SoftBank companies will pay OpenAI $3 billion annually for AI technology access.