“There is no technical moat in this field, and so OpenAI is the epicenter of an investment bubble.”
OpenAI raised $6.6 billion at a $157 billion valuation less than three months ago. Now its board writes that it needs “more capital than we’d imagined” and investors want “less structural bespokeness.” That is board-speak for dropping the nonprofit. Microsoft alone has put in $13 billion, and the pitch for the next round is the same as the last one. Give us more.