OpenAI is stepping up efforts to secure funding and critical infrastructure for its artificial intelligence expansion, with CEO Sam Altman pursuing deeper ties with investors in the United Arab Emirates and major South Korean chipmakers.
The developments come as ChatGPT maker is seeking around $20 billion in fresh funding at a valuation of approximately $1.25 trillion, according to a Financial Times report.
The target represents a reduction from an earlier plan to raise $30 billion at a $1.4 trillion valuation, as investors become more cautious about the scale of AI investments.
UAE investors expected to anchor funding round
A consortium of UAE investors, including Abu Dhabi-backed AI investment fund MGX, is expected to be the largest participant in the funding round, according to the Financial Times report.
Venture capital firms including Coatue, Sequoia Capital, Founders Fund, Andreessen Horowitz and SoftBank are also expected to participate.
However, as per the report, the initial funding close could fall short of the $20 billion target, as some investors have reportedly reduced their commitments.
OpenAI is also considering a subsequent offering to wealthy individuals to bring the total closer to its target.
The fundraising push comes as OpenAI seeks to secure capital ahead of rival Anthropic’s expected public listing later this month.
Both companies are competing for investor attention at a time when technology stocks have faced renewed pressure over the cost and profitability of AI infrastructure spending.
OpenAI signs new UAE agreements
Altman’s latest visit to the UAE has also resulted in expanded commercial partnerships across several sectors.
After meeting Abu Dhabi Crown Prince Sheikh Khaled bin Mohamed bin Zayed Al Nahyan at the ADIPEC energy conference, OpenAI announced four agreements involving government, energy and investment entities.
One of the key agreements involves Abu Dhabi National Oil Company (ADNOC), which will deploy OpenAI’s advanced AI technology across its operations.
The partnership, involving UAE technology company G42, will use AI to improve decision-making across production, processing, refining, logistics and commercial activities.
OpenAI also signed agreements with Abu Dhabi government entities and investment company Mubadala to expand the use of AI in public services, investment analysis and risk assessment.
A separate five-year agreement with G42 subsidiary Inception42 will support AI adoption across government, enterprise and education.
The UAE is also developing a major AI data center project with a planned capacity of 5 gigawatts, in which OpenAI is a partner.
The expanding relationship gives the company access to regional infrastructure and potential computing capacity alongside its efforts to raise capital.
Altman courts Samsung and SK
Separately, Altman made an unannounced visit to South Korea over the weekend, meeting around 50 Samsung executives in Yongin and holding discussions with SK Group Chairman Chey Tae-won and executives from SK hynix and SK Telecom.
The meetings reportedly focused on AI applications, semiconductor supply and potential cooperation in data center development.
Securing high-bandwidth memory (HBM) is becoming increasingly important as OpenAI expands its computing infrastructure.
Samsung has said its HBM supply for 2027 is already sold out, while SK hynix has indicated that production through 2029 is effectively accounted for, including volumes under customer negotiations.
No new formal agreements were announced following Altman’s meetings.
However, the discussions highlight OpenAI’s growing need to secure long-term chip supplies as it expands its AI infrastructure and prepares for a potential public listing in 2027.
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