OpenAI Nears $40 Billion SoftBank Deal, Reshapes AI Future with New For-Profit Model
March 27, 2025
The funding will consist of an initial $7.5 billion injection, followed by an additional $22.5 billion, indicating strong investor confidence in OpenAI.
OpenAI's revenue is projected to grow significantly, from $3.7 billion in 2024 to over $12.7 billion in 2025, with expectations to exceed $125 billion by 2029.
Part of the funding will support Project Stargate, a $500 billion initiative aimed at enhancing AI infrastructure in the U.S. and developing AI data centers.
Regulatory movements in the U.S. are shifting towards a pro-innovation approach, with over 900 AI-related bills introduced in state legislatures this year.
This massive influx of capital highlights the growing interest and investment in artificial intelligence technologies, reflecting a shift in global tech investment trends.
SoftBank's involvement underscores its strategy to heavily invest in tech firms that drive innovation and market disruption.
Despite investor confidence, concerns have emerged regarding OpenAI's capital-intensive strategy, especially with competitors like China's DeepSeek unveiling comparable AI models at lower costs.
This funding could lead to groundbreaking advancements across various sectors, including healthcare and autonomous vehicles, while stimulating international AI collaborations.
OpenAI is on the verge of finalizing a historic $40 billion funding round led by SoftBank Group Corp., marking one of the largest private fundraising efforts in history.
The funding is contingent upon OpenAI restructuring into a for-profit company, a significant change from its current nonprofit model.
OpenAI's ChatGPT, launched two years ago, has significantly impacted the AI landscape and intensified competition with major players like Google and China's DeepSeek.
In addition to the funding, OpenAI and SoftBank have launched a joint venture to market enterprise AI solutions to major companies in Japan.
Summary based on 12 sources
Get a daily email with more World News stories
Sources

TechCrunch • Mar 27, 2025
OpenAI will reportedly close its SoftBank-led $40 billion round soon | TechCrunch
TechCrunch • Mar 28, 2025
OpenAI is aiming for AGI but landing on Studio Ghibli
Yahoo Finance • Mar 27, 2025
OpenAI Close to Finalizing $40 Billion SoftBank-Led Funding
Quartz • Mar 27, 2025
OpenAI breaks record and raises a whopping $40 billion at a $300 billion valuation