Exclusive-OpenAI sweetens private equity pitch amid enterprise turf war with Anthropic, sources say

Core Insights - OpenAI is offering private-equity firms a guaranteed minimum return of 17.5%, which is significantly higher than typical preferred instruments, to attract investors for joint ventures aimed at raising capital and accelerating enterprise AI adoption [2] - OpenAI has intensified its focus on enterprise AI, an area where its competitor Anthropic has historically been stronger, as both companies seek partnerships with buyout firms to deploy AI tools to established companies [3] - The joint venture structure could help absorb high upfront costs associated with customizing AI models for clients, easing financial pressures ahead of potential public listings [4] Company Strategies - OpenAI is competing with Anthropic for lucrative business customers, aiming to lock in enterprise partnerships that would enhance customer retention and scalability of their AI solutions [5] - The strategy of forming joint ventures with private-equity firms is new to the AI sector, indicating a shift in how AI companies are approaching market penetration and customer acquisition [5] Market Reactions - At least two private-equity firms have opted out of participating in the joint ventures due to concerns regarding the economics and profit profiles of the partnerships [6] - Thoma Bravo, a major software-focused buyout firm, decided against participation after questioning the long-term profitability of joint ventures with OpenAI and Anthropic, noting that many of its portfolio companies are already utilizing AI tools [7]