damnit why didn't they make it a trillion!? that would really send a message.
To be honest Chatgpt really really spiked nvidia's stocks because (AI duh), so yes they did make it a trillion except its in some other company lol.
OpenAI raises $8.3B at $300B valuation
41–50 of 294 posts
Re: OpenAI raises $8.3B at $300B valuation
#42Didn't OpenAI's last raise in March value them at $300B [1]?
[1] https://www.channelinsider.com/news-and-trends/us/open-ai-fu...
Crunchbase appears to list it as $157B [2], but I seem to find the other terms & valuations more commonly.
[2] https://news.crunchbase.com/venture/biggest-rounds-october-2...
Re: OpenAI raises $8.3B at $300B valuation
#43Earlier quoted context omitted.
Think about how much money openai could make _just_ by getting referrals for agentic work flows (ie: help me plan my vacation). The thing that people are missing is that openai is a platform like google's, and there are a million different businesses they can expand into.
> The thing that people are missing is that openai is a platform like google's, and there are a million different businesses they can expand into. That should make it easy for them to choose one and start already, then. I wonder why they haven't started. /s
Exactly my point! They're up against thousands of founders who are moving on domain specific use cases faster
Re: OpenAI raises $8.3B at $300B valuation
#44Earlier quoted context omitted.
If she was my sister, I wouldn’t bend to her extortion attempts either. She looney.
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Maybe before you judge someone you should know the facts. They have basically done that, per the below statement by the rest of the family. I have a mentally ill family member and they are enormously difficult and are their own worst enemy and refuse help; there’s a reason many end up homeless.
“Our family loves Annie and is very concerned about her well-being. Caring for a family member who faces mental health challenges is incredibly difficult. We know many families facing similar struggles understand this well.Over the years, we've tried in many ways to support Annie and help her find stability, following professional advice on how to be supportive without enabling harmful behaviors. To give a sense of our efforts, we have given her monthly financial support, directly paid her bills, covered her rent, helped her find employment opportunities, attempted to get her medical help, and have offered to buy her a house through a trust (so that she would have a secure place to live, but not be able to sell it immediately). Via our late father's estate, Annie receives monthly financial support, which we expect to continue for the rest of her life. Despite this, Annie continues to demand more money from us. In this vein, Annie has made deeply hurtful and entirely untrue claims about our family, and especially Sam. We've chosen not to respond publicly, out of respect for her privacy and our own. However, she has now taken legal action against Sam, and we feel we have no choice but to address this. Over the years, she has accused members of our family of improperly withholding our father's 401k funds, hacking her wife, and "shadowbanning" her from various websites including ChatGPT, Twitter, and more. The worst allegation she has made is that she was sexually abused by Sam as a child (she has also claimed instances of sexual abuse from others). Her claims have evolved drastically over time. Newly for this lawsuit, they now include allegations of incidents where Sam was over 18. All of these claims are utterly untrue. This situation causes immense pain to our entire family. It is especially gut-wrenching when she refuses conventional treatment and lashes out at family members who are genuinely trying to help. We ask for understanding and compassion from everyone as we continue to support Annie in the best way we can. We sincerely hope she finds the stability and peace she's been searching for. -Connie, Sam, Max, and Jack”
Re: OpenAI raises $8.3B at $300B valuation
#45IMO they are overvalued considering the competition from Google and Anthropic. They're not doing much interesting, unless they release GPT-5 and its a gamechanger.
Re: OpenAI raises $8.3B at $300B valuation
#46Re: OpenAI raises $8.3B at $300B valuation
#47Earlier quoted context omitted.
I mean, they can burn it all up in a fire in a few months. xAI loses $1 billion per month, so this round would be an 8 month runway for that company. OpenAI loses $2 for every $1 it brings in, but perhaps they're only losing $500M/mo, so maybe this $8b could last them more than a year...
> xAI loses $1 billion per month Isn’t the vast majority of that capex?
Paying Oracle monthly bills is not capex.
Re: OpenAI raises $8.3B at $300B valuation
#48IMHO, investors are happy to pay 23x ARR because Nvidia trades at 29x EV/sales and arguably OpenAI should support a higher multiple given it is a smaller entity with more headroom for growth.
That would imply that OpenAI has less competition to fear than Nvidia, which I’m doubtful is the case.
Re: OpenAI raises $8.3B at $300B valuation
#49So OpenAI is running at a $13B ARR, meaning this is a ~23X valuation. I don't have a good read on margin. But this would imply massive growth assumptions which I struggle a bit to understand where they come from. (1) New customers new to AI or migrations from Claude/Perplexity/Google: The overwhelming majority of people already know about the offerings, leaving most new people to come from residual people who identif…
Regarding point (2), My brother told me that openai had some exclusive contracts with companies where they could only use openai api and I don't think that they would really switch now, because I think switching would be hard. Regarding point (1), OpenAI created 2 amazing trends which (though I hate OpenAI, Should be called ClosedAI) took internet by wild First when chatgpt 3 was launched And now when image ability o…
… they could only use openai api and I don't think that they would really switch now, because I think switching would be hard.
Given how many players are in this space, I am incredibly dubious that anyone will win. Market is going to be sliced between multiple big companies who are going to be increasingly squeezed on margin. Unless someone can produce some magic that is 10x more reliable, consumers are going to price compare. Today, all of the options can occasionally produce brain dead output -why pay a premium?
Especially bad for OpenAI, because they have no fallback revenue. Microsoft and Google can subside their offerings forever to eliminate competition.
Re: OpenAI raises $8.3B at $300B valuation
#50So OpenAI is running at a $13B ARR, meaning this is a ~23X valuation. I don't have a good read on margin. But this would imply massive growth assumptions which I struggle a bit to understand where they come from. (1) New customers new to AI or migrations from Claude/Perplexity/Google: The overwhelming majority of people already know about the offerings, leaving most new people to come from residual people who identif…
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