OpenAI reportedly finalizing $100B deal at more than $850B valuation | TechCrunch

TechCrunch

by Rebecca Bellan

February 19, 2026

AI-Generated Deep Dive Summary

OpenAI is reportedly on the brink of finalizing a historic $100 billion funding deal, which would place its valuation at an eye-watering $850 billion. This comes as the company, known for creating ChatGPT, faces significant financial demands in its quest to achieve profitability. Investors, including tech giants like Amazon, Microsoft, Nvidia, and SoftBank, appear willing to take on this risk, valuing OpenAI $20 billion higher than initially expected. The deal underscores the market's confidence in AI's potential and OpenAI's pivotal role in shaping the future of technology. The funding round, which could exceed $100 billion, is structured with a pre-money valuation of $730 billion. Early investments are expected to come from Amazon, Microsoft, Nvidia, and SoftBank, with additional contributions likely from venture capital firms and sovereign wealth funds. This influx of capital highlights OpenAI's ability to attract top-tier investors despite its hefty burn rate and ongoing efforts to explore new revenue streams, such as testing ads in ChatGPT for free users. The deal also reflects the broader tech industry's shift toward prioritizing AI innovation. As OpenAI inches closer to profitability, the massive valuation signals a belief among investors that the company will continue to lead the AI revolution. This confidence is further bolstered by OpenAI's ability to secure commitments from some of the world's largest and most influential corporations. The funding round, which could total over $100 billion, sets a new benchmark for startup valuations and underscores the transformative potential of generative AI technologies. For readers interested in tech and startups, this deal is a game-changer. It not only solidifies OpenAI's position as a leader in the AI space but also sends a clear signal that the industry is betting big on the future of artificial intelligence. The involvement of major players like Amazon, Microsoft, and Nvidia further emphasizes the cross-industry collaboration and investment trends driving innovation in this sector. As OpenAI pushes forward with its ambitious goals, this deal will likely serve as a key milestone in the ongoing evolution of AI technology and its impact on global markets.

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Originally published on TechCrunch on 2/19/2026