High valuations of OpenAI and Anthropic spark investor concerns over tech market downturn

Discussions surrounding OpenAI's latest funding round, which began in late September, revealed ambitious financial terms. The company presented a proposal seeking at least $30 billion in fresh capital, predicated on a valuation of $1.4 trillion. This follows OpenAI's previous valuation of $852 billion. Despite OpenAI's remarkable fundraising success, some investors expressed reservations regarding the proposed figures. According to individuals familiar with the negotiations, the valuation terms were perceived as excessively high, suggesting growing apprehension among backers about the current state of the startup funding environment.