Enter your email address below and subscribe to our newsletter

Apple Pulls Out From OpenAI’s Potential Funding

September 28, 2024

Apple Withdraws from OpenAI funding: Apple has reportedly dropped out of talks to join OpenAI‘s upcoming $6.5 billion funding round. The tech giant’s move comes at a rather challenging time for OpenAI, as the AI startup witnessed the exit of several key executives earlier this week. 

Apple Withdraws from OpenAI Funding

According to the Wall Street Journal, Apple stepped back from the talks just days before the round is expected to close, despite the iPhone maker’s initial strong interest in joining the round just a month ago.

Apple withdraws from Openai funding, OpenAI funding, OpenAI loses apple Investment

“Apple Withdraws from OpenAI funding. Apple is no longer in talks to participate in an OpenAI funding round expected to raise as much as $6.5 billion, an 11th-hour end to what would have been a rare investment by the iPhone maker in another major Silicon Valley company,” the report mentioned.

The report further stated that Microsoft and Nvidia have also been in discussions to join the funding round, where Microsoft is likely to invest around $1 billion. Microsoft has already invested $13 billion in the ChatGPT developer. 

Additionally, OpenAI is also in the process of restructuring from a nonprofit into a for-profit firm.

Also Read: OpenAI Partners With Vogue publisher Conde Nast

Is OpenAI Under Intense Decision Pressure?

Besides, key executives, some of whom played pivotal roles in OpenAI’s rapid rise, have exited the company recently, stirring speculation about potential leadership conflicts or strategic disagreements that could be affecting the company’s trajectory.

The timing of Apple’s withdrawal, juxtaposed with these internal changes, has added to concerns about OpenAI’s stability.

It is also being speculated that OpenAI’s leadership turmoil and the loss of crucial talent could be indicative of broader issues within the company, possibly stemming from disagreements over strategic direction or the pressure of maintaining rapid growth amid rising competition in the AI space.

Interact with us via our social media platforms:

Facebook: Silicon Africa.
Instagram: Siliconafricatech.
Twitter: @siliconafrite.

Share your love
Abdullahi Kafayat
Abdullahi Kafayat

Abdullahi Kafayat is an enthusiastic writer interested in the tech world. She's a graduate of Obafemi Awolowo University and has a BSc in Chemistry. You can reach her at Kafayatabdullahi17@gmail.com.

Articles: 598

Newsletter Updates

Enter your email address below and subscribe to our newsletter

Stay informed and not overwhelmed, subscribe now!