Tuesday Edition · Tue 20 Oct 2026
OpenAI Races to Raise About $30 Billion at a Valuation Above $1.4 Trillion Before Anthropic's Mid-November IPO, Reuters Reports
OpenAI is speeding up a private funding round that could value it at more than $1.4 trillion, aiming to finish before its rival Anthropic's expected stock-market listing, Reuters reported. Separately, some large corporate users are pressing AI companies for stronger protection of customer data.
Chanan Zevin - Chief Editor and Head of Desks
Published
The round
OpenAI is accelerating a private round of roughly $30 billion that could value the company above $1.4 trillion, Reuters reported on Monday evening, citing two people familiar with the matter. SoftBank and the Abu Dhabi investor MGX are in talks to take part, according to the report. The figures are reported targets. The round has not closed, and the final valuation could differ.
The jump in value
A valuation above $1.4 trillion would compare with $852 billion in March, according to Quartz's summary of the Reuters report. That would be a rise of more than 60% in about seven months. Such a jump reflects investors' belief that OpenAI's revenue will keep growing quickly, and the scarcity of chances to buy into leading AI developers.
The race with Anthropic
The people told Reuters that OpenAI wants to close the round before Anthropic's expected listing in mid-November. A public listing would give Anthropic a market price set daily by investors. OpenAI may prefer to fix its own price first rather than be compared with a public rival. Anthropic has not confirmed an IPO date, and the timing should be treated as expected, not certain.
Corporate customers push back
In a related development, The Information reported that Palantir, Nvidia and Booz Allen could restrict use of OpenAI and Anthropic models unless they receive guarantees against misuse of their customers' intellectual property. If confirmed, that would show that large buyers are using their bargaining power to demand contractual protections. Those demands could slow some enterprise deals.
Anthropic's share pledge
Anthropic has committed 5% of its shares to a new public-good fund, Reuters reported via the Straits Times, as the Journal covered on Monday. Separately, Elon Musk proposed giving one SpaceX share to every child in America, according to the same report. Both proposals tie private wealth from technology to public benefit, in different ways.
What investors are buying
Private investors in OpenAI are betting on future profits that are not yet visible. The company spends heavily on computing power. Its revenue is growing fast, but the gap between spending and income remains large. Tuesday's sell-off in Asian chip stocks, driven by doubts about AI financing, shows that public markets are asking the same questions.
Risks to the plan
The round depends on investors' appetite holding up during a volatile market. A weak reception for Anthropic's IPO, if it happens, could reset valuations across the sector. Regulatory scrutiny and customer demands on data use add further uncertainty.
Why the numbers are so large
Valuations in the trillions reflect the cost of competing at the frontier. Training and running the most capable models requires vast data centres, specialised chips and electricity contracts that run for years. Investors in a round of this size are not only buying a share of OpenAI's future revenue. They are funding the infrastructure that the company says it needs to stay ahead of Anthropic, Google and other rivals. That makes the round as much a financing of capital spending as a vote on the company's prospects.
What to watch
Signals to watch are a formal announcement of the round, regulatory filings from Anthropic and statements from large enterprise customers. The Journal will treat valuations as reported until transactions are confirmed.
Sources
- Reuters, OpenAI accelerates funding round ahead of Anthropic IPO, 19 Oct 2026
- Quartz, summary of Reuters report on OpenAI valuation, Oct 2026
- The Information, Palantir, Nvidia and Booz Allen on AI model guarantees, Oct 2026
- Reuters via The Straits Times, Anthropic pledges 5% of shares to public-good fund; Musk SpaceX share proposal, Oct 2026
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