OpenAI just pulled off the single largest private funding round in the history of capitalism. Not a typo. The company behind ChatGPT announced Friday that Amazon, Nvidia, and SoftBank collectively poured $110 billion into the company — vaulting its valuation to a staggering $730 billion.
Here’s how the money broke down: Amazon led with a $50 billion commitment, while Nvidia and SoftBank each chipped in $30 billion. And the round isn’t even closed yet — more investors are expected to pile in. To put this in perspective, OpenAI’s previous record-breaking raise was just $40 billion a year ago at a $300 billion valuation. In 12 months, the company has more than doubled its price tag.
But the real story isn’t the headline number — it’s where the money is going. OpenAI is now targeting roughly $600 billion in total compute spending by 2030, down from the eye-watering $1.4 trillion Sam Altman floated months ago. The company expanded its existing $38 billion AWS deal by another $100 billion over eight years, with Amazon’s cloud service becoming the exclusive third-party distribution partner for OpenAI’s enterprise platform, Frontier.
There’s a fascinating catch buried in the details: $35 billion of Amazon’s investment is contingent on OpenAI either achieving AGI or completing its IPO by year-end. That’s not a blank check — it’s a bet with a ticking clock. And Microsoft, OpenAI’s original sugar daddy? Still has an option to join the round. The two companies issued a joint statement insisting their partnership remains “strong and central.”
For investors watching the AI space, this round redraws the competitive map. OpenAI is projecting $280 billion in revenue by 2030 — split evenly between consumer and enterprise. Meanwhile, rival Anthropic just raised $30 billion at a $380 billion valuation, and Elon Musk’s xAI pulled in $20 billion. The AI arms race is no longer theoretical. It’s happening, the checks are clearing, and the stakes have never been higher.
What does this mean for the broader market? Every dollar flowing into OpenAI is a dollar bet on the idea that AI infrastructure will be the new electricity — and that whoever controls the pipes will control the economy. If OpenAI is right, the companies building this infrastructure are generational winners. If they’re wrong, we’re looking at the most expensive science experiment in human history.