OpenAI just raised $6.6 billion to build ever-larger AI models - The Verge
▻https://www.theverge.com/2024/10/2/24260457/openai-funding-round-thrive-capital-6-billion
This funding round values OpenAI at roughly 40 times its reported revenue, an unprecedented figure that highlights just how much hype surrounds AI in Silicon Valley. The New York Times reported that OpenAI’s monthly revenue hit $300 million in August, and the company expects about $3.7 billion in annual sales this year (and estimates that its revenue will reach $11.6 billion next year.)
These billions will go toward the incredibly expensive task of training AI frontier models. Anthropic CEO Dario Amodei has said AI models that cost $1 billion to train are in development and $100 billion models are not far behind. For OpenAI, which wants to build a series of “reasoning” models, those costs are only expected to balloon — making fresh funding rounds like this one critical.
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