Friday, 23 October, 2026
Reality Check for AI: OpenAI Trims Valuation Target Ahead of Planned IPO
By TechShots Studio
OpenAI has scaled back its funding valuation target by $150 billion to $1.25 trillion as it negotiates a $30 billion bridge round. The revision stems from investor pushback and broader market skepticism regarding massive AI capital expenditures versus actual returns. With tech stocks softening, OpenAI adjusted its expectations to secure commitments from lead investors—including UAE funds—while laying financial groundwork for its target 2027 IPO.