OpenAI Targets $30B at $1.25T Valuation in UAE-Led Pre-IPO Bridge Round
OpenAI is closing in on a funding round of up to $30 billion at a $1.25 trillion pre-money valuation, Bloomberg and CNBC reported on October 22. UAE sovereign investors are leading the round alongside Coatue Management, and OpenAI told prospective investors it is targeting signatures by the end of October.
The $1.25 trillion figure is $150 billion lower than the $1.4 trillion discussed in September, repriced as negotiations concluded. At close, OpenAI would set the record as the most valued private company in history.
Bridge before IPO
OpenAI is framing the round as “opportunistic” — a bridge ahead of a public offering rather than a capital-driven raise. The company filed its prospectus confidentially with the SEC in June 2026. CFO Sarah Friar told employees in August the company “will be a public company in 2027.” CEO Sam Altman offered a different read in September, calling the current moment “an ill-advised moment to go public right now.”
The bridge buys time without forcing a market test. OpenAI’s previous round closed in April 2026 at $122 billion raised and $852 billion post-money valuation — the pre-money figure has since grown by $400 billion in six months.
UAE compute tie-in
Alongside the equity investment, OpenAI is negotiating a commercial deal to secure additional computing capacity from the UAE, according to one person familiar with the discussions. OpenAI told investors in February it is targeting roughly $600 billion in total compute spend through 2030. The UAE deal would advance that target while tying sovereign investors to model usage revenue.
The structure — equity capital bundled with compute supply from the same counterparty — adds a strategic layer beyond pure financing. UAE sovereign funds have been the largest external participants in OpenAI’s capital stack across multiple rounds.
Round dynamics
The raise was initiated by inbound investor proposals in September, not a company-initiated road show. OpenAI told investors on Thursday, October 22, that it aims to secure signatures by end of next week — meaning signatures as early as October 31. Final round size remains open; the $30 billion ceiling may shift.
OpenAI declined to comment.