Apple has withdrawn from discussions to participate in OpenAI’s latest funding round, which was projected to raise $6.5 billion. This decision brings an end to what could have been a rare investment by Apple in another major Silicon Valley company.
According to the Wall Street Journal, Apple stepped away from negotiations as the funding round neared its conclusion, with the closing date expected next week. The reason behind Apple’s withdrawal remains unclear, with both Apple and OpenAI declining to comment on the matter.
Despite Apple’s exit, the funding round continues to attract attention from other major players in the tech industry. Microsoft, which has already invested $13 billion in OpenAI, is reportedly planning to add another $1 billion. Nvidia is also in discussions to participate, and the round is expected to push OpenAI’s valuation beyond $100 billion.
Apple’s initial interest in OpenAI was reported last month, amid increasing competition among companies to secure a foothold in the rapidly growing AI sector. OpenAI, which gained prominence following the launch of ChatGPT in late 2022, has seen significant investment as businesses scramble to remain competitive in the AI race.
Though Apple is no longer involved, the funding round remains crucial to advancing OpenAI’s mission in the evolving artificial intelligence industry.
Credit: TechEconomy (Text Excluding Headline)
