OpenAI in Talks to Raise $30 Billion at $1.25 Trillion Valuation Ahead of IPO

OpenAI is in talks to raise up to $30 billion in a new funding round that would value the company at $1.25 trillion, according to sources cited by CNBC and reported by TechCrunch on October 22. If completed, the round would set a new record for any private company and nearly double OpenAI's valuation from its $852 billion post-money price tag in March 2026.

The round is reportedly being led by Coatue, with additional participation from UAE-based investors. The UAE funding is tied to an agreement to provide more computing capacity to OpenAI, sources say. Terms are still being finalized and could change before any announcement. OpenAI declined to comment.

The timing is significant: OpenAI filed confidentially for an IPO in June 2026. This pre-IPO round would give the company additional runway and potentially set a pricing floor for its eventual public debut. OpenAI's annualized revenue is tracking toward $70 billion by the end of 2026, up from roughly $3.4 billion at the start of 2025.

The raise also reflects the scale of the AI race. Rival Anthropic raised $65 billion at a $965 billion valuation in May 2026 and is reportedly targeting a $1.5 to $2 trillion valuation for its own upcoming IPO. A $1.25 trillion OpenAI would rank as the most valuable private company in history, ahead of SpaceX and ByteDance — a marker of how quickly AI has reshaped private capital markets.