Introduction: OpenAI, once a nonprofit, has become the Silicon Valley darling, attracting interest from the biggest IT giants. Following its partnership with Microsoft, which invested over $10 billion, new reports suggest that OpenAI might soon secure even more substantial investments, solidifying its position in Silicon Valley.

Potential New Investments from Apple and Nvidia

American media outlets report ongoing negotiations between OpenAI, Apple, and Nvidia regarding new investments. If these deals materialize, OpenAI, the company behind the AI chatbot ChatGPT, could see its valuation soar past $100 billion. Although none of the companies involved have commented on these reports, the potential partnership would be a win-win for all parties. Learn more about AI’s influence on tech giants.

In June, Apple struck a deal with OpenAI to integrate ChatGPT into its Apple Intelligence system. This collaboration reportedly earned Apple an observer seat on OpenAI’s board. A partnership with Nvidia would further bolster both companies, as they have achieved record-breaking results in recent years, driven by advancements in artificial intelligence. Read about Nvidia’s role in AI development.

Thrive Capital and Microsoft’s Continued Interest

Thrive Capital, a venture capital firm, recently announced a $1 billion investment in OpenAI, which could kickstart a new round of funding. Interestingly, Microsoft might also inject additional funds to secure its position on OpenAI’s board. Currently, OpenAI’s estimated valuation is around $80 billion, with ChatGPT boasting over 200 million active weekly users—double the number from the same period last year. Additionally, OpenAI has signed an agreement with the U.S. government to research, test, and evaluate its AI model, according to the American Institute for AI Security. Read more about OpenAI’s partnership with the U.S. government.

Elon Musk’s Concerns and Regulatory Scrutiny

On the other hand, Elon Musk, one of OpenAI’s original investors, has raised concerns about the legality of OpenAI’s transition from a nonprofit to a for-profit entity. Musk commented on his profile on X: “Either converting a nonprofit into a for-profit is legal and everyone should do it, or it’s illegal, and OpenAI is a house of cards.” Given that every major investment requires regulatory approval, Musk’s comment is not entirely without merit. However, it seems that OpenAI is in for an interesting fall regardless. Learn more about the legal challenges facing OpenAI.