SoftBank has completed its $40 billion investment commitment to OpenAI, sources told CNBC’s David Faber.
The Japanese investment giant sent over a final $22 billion to $22.5 billion last week, according to the sources familiar with the matter. SoftBank had previously had syndicated $10 billion and invested $8 billion in the ChatGPT maker.
The investment takes SoftBank’s stake in the company above 10%.
CNBC reported in February that the company was finalizing a $40 billion investment in the Sam Altman-run startup at a $260 billion pre-money valuation.
At the time, sources told Faber that the funding would be paid out over a 12 to 24 month period. Some of the money was slated to support OpenAI’s artificial intelligence infrastructure Stargate joint venture with Oracle and SoftBank.
Companies have been spending big in recent months to build out infrastructure to support booming demand for AI solutions and growing compute needs.
Over the years, SoftBank has been betting big on technology and AI companies and was an early investor in chipmaking giant Nvidia. On Monday, the conglomerate agreed to pay $4 billion for data center investment firm DigitalBridge to strengthen its AI push.
Last month, the SoftBank liquidated its entire $5.8 billion stake in major AI beneficiary and chipmaker Nvidia. Sources told CNBC that the sale, combined with other cash sources, would support its OpenAI investment.
The startup, which is reportedly preparing for an IPO, has received billions in funding over the years from tech juggernaut Microsoft.
Earlier this month, CNBC reported that OpenAI was exploring a potential more than $10 billion investment from Amazon. Disney also made a $1 billion equity investment that will allow used to used copyrights Disney character, including Mickey Mouse and Cinderella.
