OpenAI Tops SpaceX as World’s Most Valuable Private Company With $500 Billion Valuation

Core Insights - OpenAI has surpassed SpaceX to become the world's most valuable private company with a valuation of $500 billion following a $6.6 billion employee share sale, highlighting the investor enthusiasm in the AI sector [1][3] Group 1: Financial Transactions - The recent share sale allows current and former employees to sell their shares after holding them for at least two years, with participation from firms like Thrive Capital, SoftBank Group, and T. Rowe Price [1] - This marks OpenAI's second significant tender offer in less than a year, following a $1.5 billion transaction with SoftBank last November [2] - OpenAI's valuation has increased from $300 billion earlier this year, following a $40 billion funding round led by SoftBank in March [3] Group 2: Strategic Partnerships - OpenAI has formed a strategic partnership with Nvidia, planning to deploy at least 10 gigawatts of Nvidia systems, with Nvidia committing to invest up to $100 billion as each gigawatt is deployed [4] - The partnership aligns with the Stargate initiative involving OpenAI, SoftBank, and Oracle to enhance AI infrastructure in the U.S. [4] Group 3: Competitive Landscape - The liquidity from the share sale may help OpenAI retain talent amid competitive offers from rivals like Meta, which is actively hiring for its Superintelligence Labs [5] - OpenAI has lifted its capped-profit limit in May, amidst ongoing legal challenges from co-founder Elon Musk, who has accused the company of straying from its original nonprofit mission [6]