OpenAI Startup Fund Secures Additional $5 Million in Latest Funding Round
By Jace Dela Cruz
May 14, 2024 04:32 AM EDT
May 14, 2024 04:32 AM EDT
The OpenAI Startup Fund has successfully raised an additional $5 million, according to a filing with the US Securities and Exchange Commission (SEC).
This venture fund, which is related to but technically separate from OpenAI, invests in early-stage AI-related firms. TechCrunch reported that it had recently transferred legal control from OpenAI CEO Sam Altman to Ian Hathaway, who was previously named the sole partner and manager of the OpenAI Startup Fund.
(Photo : MARCO BERTORELLO/AFP via Getty Images)
Two investors raised this new fund and transferred it to a legal entity known as a special purpose vehicle (SPV) associated with the OpenAI Startup Fund: OpenAI Startup Fund SPV II, L.P.
According to TechCrunch, the $5 million tranche marks the third time the OpenAI Startup Fund has raised an SPV. The OpenAI Startup Fund raised $15 million for its second SPV last month and $10 million for its first SPV in February.
Based on another SEC document, the OpenAI Startup Fund had $175 million in commitments last year and reported a gross net asset value of $325 million earlier this year.
Although it functions as a corporate venture capital unit, the OpenAI Startup Fund raises capital from external limited partners, such as Microsoft, which is a major partner and investor in OpenAI. According to PitchBook data, the venture fund is backing at least 16 other startups.
READ MORE: Sam Altman Returns to OpenAI Board After Firing and Rehiring, Along With 3 New Directors
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