OpenAI cuts funding round goal to $20bn as tech stocks slide OpenAI previously raised $122bn in March 2026. · Verdict · Samuel Boivin/Shutterstock.com. Anwesha Pattanaik Mon, November 2, 2026 at 5:15 AM EST 3 min read OPAI.PVT ^IXIC -2.86% ChatGPT maker OpenAI has reportedly reduced the target for its latest funding round by $10bn.
The decision follows a broader decline in technology stocks and investor unease about AI spending, reported the Financial Times, citing anonymous sources.
The AI company is now aiming to raise approximately $20bn, down from a previous goal of $30bn set last month.
The anticipated valuation has also been lowered from $1.4tn to $1.25tn.
OpenAI had originally highlighted an increase in revenue since July in support of a higher valuation, nearly doubling its previously stated figure of $852bn.
Sources indicated to the publication that OpenAI set a Friday deadline for investors to commit to the current round.
However, the so-called "first close" is expected to secure less than the $20bn target, after some backers reduced their investment allocations.
The company faces increased scrutiny as the tech-heavy Nasdaq 100 index fell by 3.5% on 30 October, contributing to overall market concerns.
The report states that a consortium of investors from the United Arab Emirates (UAE), including the state-backed technology fund MGX, is likely to provide the largest share of funds in this round.
As part of the planned deal, OpenAI could gain an option to lease new computing capacity in the UAE.
Other venture capital participants expected to join the investment include Founders Fund, Sequoia Capital, Coatue, and Andreessen Horowitz, as well as SoftBank, according to the published accounts.
In addition, wealthy individuals are expected to have access to a subsequent retail offering at the new $1.25tn valuation, a step that could bring the overall amount raised closer to $20bn.
OpenAI previously secured $122bn in March 2026, but according to individuals cited in the report, plans to invest a significantly higher sum in infrastructure required for training and operating its models.
One backer stated that fundraising began during a period of considerable enthusiasm for AI but was affected by the abrupt change in market sentiment.
The company is also contending for investor interest alongside Anthropic, which is expected to list publicly next month with a potential valuation of $1.5tn, according to the sources.
Separately, Foxconn is exploring a partnership with OpenAI, according to the Taiwanese company's chairman Young Liu. Speaking to reporters at the company's annual technology showcase, Liu confirmed a meeting with OpenAI CEO Sam Altman and noted that a formal announcement will follow once terms are finalised.
"OpenAI cuts funding round goal to $20bn as tech stocks slide" was originally created and published by Verdict, a GlobalData owned brand.
