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SoftBank Finalizes $30 Billion Investment in OpenAI, Boosting Stake to 13%
Summary
The Japanese investment conglomerate has completed the final tranche of its major investment in the AI leader, bringing its total commitment to $64.6 billion as part of a funding round that valued OpenAI at $852 billion.
SoftBank Group has completed its $30 billion investment in OpenAI, fulfilling a commitment made during the artificial intelligence lab's most recent fundraising round, the company said Thursday.
Investment Details
The Japanese investment firm, led by founder Masayoshi Son, structured the investment in three tranches of $10 billion each, deployed through its Vision Fund 2. This move solidifies SoftBank's position as one of the world's most significant backers of the ChatGPT maker, according to a Reuters report.
To help finance the deal, SoftBank raised $11.1 billion last month through what was described as the largest global high-yield corporate bond sale. The conglomerate also canceled the remaining $10 billion of undrawn capacity from a $40 billion bridge loan it had secured earlier in the year.
AdStrategic Context
This final payment is part of a landmark funding round announced earlier this year, in which OpenAI secured $122 billion in commitments. That round, anchored by Amazon, Nvidia, and SoftBank, placed the AI company's valuation at a staggering $852 billion.
With the completion of this transaction, SoftBank's cumulative investment in the Sam Altman-led company now stands at $64.6 billion. This gives the Japanese group a 13% stake in OpenAI, marking a significant bet on the future of artificial intelligence as part of Son's strategic pivot toward the sector.
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