Recently, news broke that MGX, the state-owned investment company of the United Arab Emirates, is considering participating in a multi-billion dollar funding round for OpenAI.
According to The Wall Street Journal, MGX has yet to determine the specific size of its investment, while OpenAI is seeking to raise $6.5 billion and boost the company's valuation to $150 billion.
This funding plan has garnered support from venture capital firms like Thrive Capital, and Microsoft may also join, given it has already invested $13 billion in OpenAI since 2019. Additionally, Apple and NVIDIA are also in talks with OpenAI for potential investments.
Sam Altman, CEO of OpenAI, revealed to investors that the company's annual recurring revenue recently reached $4 billion. This figure showcases OpenAI's robust commercial performance, further attracting investor attention.
Meanwhile, Altman has engaged in discussions with Tahnoon Bin Zayed Al Nahyan, Chairman of MGX's board and investor, regarding a potential trillion-dollar plan aimed at enhancing global chip production capabilities.
MGX was established in March by global investment firm Mubadala and AI company G42, focusing on investing in the development and application of artificial intelligence and advanced technologies, not only within the UAE but also globally. MGX is dedicated to the advancement of AI infrastructure, core technologies, and their applications. In a March 11 press release, Mubadala stated, "Our sole objective is to accelerate the responsible and inclusive development of artificial intelligence for the benefit of humanity, all under the guidance of Abu Dhabi's global investment strategy." The establishment of MGX also aims to further consolidate the UAE's global leadership in technology talent, investors, and entrepreneurs.
It is worth noting that the UAE currently holds around $2 trillion in sovereign wealth funds, aiming to reduce reliance on oil by establishing a global AI hub, which also spurred the creation of MGX. Additionally, G42 received a $1.5 billion investment from Microsoft in April, strengthening the long-term partnership between the two companies in the fields of artificial intelligence and digital transformation.
Key Points:
💰 MGX is considering investing billions of dollars in OpenAI, which is seeking $6.5 billion in funding.
🤖 OpenAI's annual recurring revenue has reached $4 billion, demonstrating strong commercial performance.
🌍 MGX, co-founded by Mubadala and G42, focuses on investing in and developing artificial intelligence and advanced technologies.
