Softbank fulfills $40 billion OpenAI backing, sources tell CNBC

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Softbank fulfills billion OpenAI backing, sources tell CNBC — Softbank fulfills 40 billion OpenAI backing sources tell CNBC.jpeg

SoftBank has recently fulfilled its $40 billion investment commitment to OpenAI, according to sources familiar with the matter. The Japanese investment giant transferred a final sum of $22 billion to $22.5 billion last week, bringing their total investment in the ChatGPT maker to $40 billion. This investment has also increased SoftBank’s stake in OpenAI to over 10%.

In related news, OpenAI has made significant infrastructure commitments totaling more than $1.4 trillion over the next few years. The company has partnered with key players in the chipmaking industry, including Nvidia, Advanced Micro Devices, and Broadcom, to support its AI initiatives.

SoftBank, known for its investments in technology and AI companies, recently agreed to acquire DigitalBridge for $4 billion to strengthen its AI portfolio. Additionally, the conglomerate sold its $5.8 billion stake in Nvidia to support its OpenAI investment.

OpenAI, which is reportedly gearing up for an IPO, has received substantial funding from tech giant Microsoft. The startup is also exploring a potential investment of over $10 billion from Amazon. Disney has also shown support for OpenAI through a $1 billion equity investment deal, allowing users to create content using licensed characters like Mickey Mouse through OpenAI’s video generator Sora.