SoftBank to buy $1.5bn OpenAI shares

• Published On: 27 November 2024 at 20:16

According to two sources familiar with the subject, OpenAI, the firm behind ChatGPT, is offering its workers the opportunity to sell around $1.5 billion in shares in a fresh tender offer to Japan's SoftBank Group.

Masayoshi Son, CEO of SoftBank, has been eager to raise his position in the AI business after investing in OpenAI's previous funding round, according to CNBC.

The transaction follows SoftBank's investment in OpenAI's October funding round, in which it raised $500 million as part of a $6.6 billion round that valued the business at $157 billion.

Employees at OpenAI will have until December 24 to determine whether to participate in the tender offer. According to reports, the offer price is in line with the company's previous investment round valuation. Sources say the investment will be made through SoftBank's Vision Fund 2.

While SoftBank and OpenAI declined to comment on the purchase, it is part of SoftBank's continuous goal to grow its exposure to the AI sector, which includes its investment in OpenAI and the recent acquisition of chip startup Graphcore.

OpenAI, which has seen its valuation and user base skyrocket since releasing ChatGPT, continues to attract global attention for its quick development and innovation.