Middle Eastern consortiums make massive investments in the AI sector
Recently, reports emerged that U.S. AI giant OpenAI has launched a new funding round, with a consortium including several UAE funds expected to participate in a round of at least $30 billion.
The round is priced at a pre-money valuation of approximately $1.4 trillion. No lead investor has been set for now; instead, potential investors are being offered a fixed valuation. As recently as October 2024, OpenAI was valued at just $157 billion. In two years, the companyโs valuation has soared tenfold.
OpenAI is in talks with several UAE funds, including Abu Dhabiโs MGX, to form a consortium for a new funding round of at least $30 billion. The UAE participants would contribute up to a combined approximately $10 billion, while BlackRock is also in parallel discussions about joining the round.
Capital from the Middle East is one of the important sources of funding for leading U.S. AI companies. Abu Dhabi-based MGX raised nearly $50 billion around 2026, earmarked specifically for investments in AI infrastructure and technology. It is also listed among the investors in model companies such as OpenAI, Anthropic, and xAI, and works with BlackRock, Microsoft, and Nvidia through platforms such as AI Infrastructure Partners to secure data center and power resources.
OpenAIโs previous funding round took place in March this year, raising a total of $122 billion at a valuation of $852 billion. Just six months later, its valuation has already surged to $1.4 trillion. In October 2024, Thrive led a $6.6 billion primary funding round, joined by Microsoft, Nvidia, SoftBank, MGX, and others, at a valuation of just $157 billion. In two years, the companyโs valuation has soared tenfold.
Anthropic: This $30 billion funding round is not an isolated case; Anthropic has also been making moves. Citing people familiar with the matter, foreign media reported that a $60 billion AI chip financing deal has entered the syndication and distribution stage, with major financial institutions including Bank of America, Citigroup, and Morgan Stanley taking part. It is the largest chip financing deal to date.
The funds will support Anthropicโs leasing of Google TPU chips for its 2027 chip orders. Lease payments will begin only after the chips are delivered. As a bellwether for appetite for AI debt risk, the dealโs distribution progress and final pricing will directly reflect institutional investorsโ true valuation of long-term demand for AI computing power.
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