AI is as buzzworthy as ever — especially at this week’s Consumer Electronics Show in Las Vegas. It’s largely being touted as a way to free humans from the many mundane, repetitive tasks that come up in our jobs, but it’s also started to pop up in more creative industries, including journalism. And as fast as you can say “college essay,” one student even made an app that detects AI-powered assignments.
AI tools like OpenAI’s ChatGPT and image generation program DALL-E took the internet and social media by storm in late-2022, and the hype hasn’t died down. In fact, in its first five days, a million-plus users signed up to use ChatGPT, prompting many experts to speculate that such an AI breakthrough could even challenge Google’s grip on internet searches. According to the Wall Street Journal, the research lab might soon be one of the most valuable US startups on paper.
WSJ reports that OpenAI is in talks with VC firms Thrive Capital and Founders Fund to sell existing shares in a tender offer that would ultimately see the lab valued at around $29 billion. It could total at least $300 million in OpenAI sales, the paper reports from sources familiar with the situation. The offer would see a specific number of shares purchased from existing shareholders for a fixed price.
A prior tender offer was completed in 2021. Then, OpenAI was valued at about $14 billion, according to WSJ.
While OpenAI does generate revenue by selling its AI software to developers, one company hoping to cash in on ChatGPT’s current wave of success is Microsoft. WSJ reports that they have been in advanced talks to increase their investment in OpenAI — previously $1 billion in 2019, when they became a “preferred partner” for commercializing new technologies.
In March, Microsoft will update its Bing search engine with AI powered by ChatGPT. As Analyst Rob Enderle told SiliconANGLE:
“ChatGPT is on track to revolutionize how we interface with computers, particularly with internet search. This renewed and increased valuation reflects Microsoft’s interest and also shows how visible this technology has suddenly become. It has become highly desirable by investors and could be an even more significant game-changer for human/computer interaction going forward.”
