OpenAI’s valuation has reportedly reached $1.25 trillion, $50 billion less than the company had initially targeted.

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The valuation came as the artificial intelligence startup closed on new funding of $11 billion, a source familiar with the matter told Reuters Friday (Nov. 6).

That figure represents just part of OpenAI’s initial goal of $30 billion, while the valuation has fallen from the $1.5 trillion level the company had been seeking, said two investors.

Enthusiasm about AI companies has waned in the last month, the report added, with some investors valuing competing AI startup Anthropic’s planned initial public offering (IPO) at about $1.5 trillion, below earlier expectations of roughly $2 trillion.

An earlier Reuters report cited four sources familiar with Anthropic’s investor discussions said potential backers are skeptical that the company can move ahead with its planned roadshow this week and a November listing.

Even if the company and investors can come to an agreement on a valuation, Anthropic could choose to postpone its IPO until the current market turmoil dies down.

Reuters reported Thursday (Nov. 5) that a selloff that day had wiped out $2.5 trillion in market value from Nasdaq and represented the market’s largest one-day drop since April 2025. The report attributed the decline to investor worries that Democratic victories in last week’s midterm elections could bring more scrutiny for AI-related issues like data center construction.

“Democrats are preparing a slate of artificial intelligence bills for when they take control of Congress in January,” PYMNTS wrote last week.

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