5. YCombinator
YCombinator, the Silicon Valley incubator, was the first institutional investor to invest in OpenAI, doing so in 2016, according to Crunchbase. Before running OpenAI, Altman was the CEO of YCombinator.
6. Khosla Ventures
Khosla Ventures was another of the first VC firms to invest in OpenAI, putting in $50 million in 2019 and taking a 5% stake. Principal Vinod Khosla said there was no good way to do due diligence on the company, but he had confidence that AI would be a significant technology. He's been proven right. The stake is now worth more than $1 billion.
7. Tiger Global
VC firm Tiger Global first invested in OpenAI in 2021 in a funding round with several other VC firms. Tiger Global was also one of several firms to push back against OpenAI when the board fired Sam Altman for a few days, only to bring him back after an employee and investor uproar.
8. Andreessen Horowitz
Andreessen Horowitz, one of the best-known Silicon Valley VC firms, participated in OpenAI's funding round in April 2023. However, co-founder Marc Andreessen criticized OpenAI's defense capabilities, saying its security protocol was "Swiss cheese." Andreessen Horowitz is also in the process of raising $6 billion to invest in AI, showing it's betting big on the new technology.
9. Sequoia Capital
Sequoia first invested in OpenAI in 2021 and is also focused on AI, with 60% of its investments in AI companies in 2023, up 15% from 2022. It has invested in a number of other AI companies, like Collaborative Robotics.
10. Thrive Capital
VC firm Thrive Capital led the September 2024 $6.6 billion investment round with a $1.3 billion investment of its own. Thrive also has the option to invest as much as $1 billion in OpenAI at the same valuation. Founded by Joshua Kushner, Thrive is known for successful early-stage investments in tech companies like Meta Platforms' (META -0.69%) Instagram, Spotify (SPOT -0.54%), and Stripe.
11. Nvidia
According to reports, Nvidia invested around $100 million in OpenAI's latest funding round. It's not a surprise that the chip giant would invest in OpenAI, as the success of each company is very much connected.
Nvidia's stock soared shortly after the launch of OpenAI's ChatGPT, which set off a boom in generative AI. Looking ahead, Nvidia's success makes OpenAI's success more likely, and OpenAI's success makes Nvidia's success more likely.