OpenAI’s CFO says the funding round should close by next week in a letter

OpenAI CFO Sarah Friar is trying to reassure investors that the highly regarded AI startup is still in a strong position and is poised to close a big funding round soon, despite losing top talent this week.

In an email to OpenAI investors seen by CNBC, Friar addressed the departure of chief technology officer Mira Murati, who announced her departure on Wednesday. Later that day, Sam Altman said two top research executives, Bob McGrew and Barret Zoph, were also leaving.

“I wanted to reach out personally following the news of Mira’s departure from OpenAI,” Friar wrote in the letter, which was viewed by CNBC. “While leadership changes are never easy, I want to make sure you have the full context.”

Friar added that “We’re incredibly proud of everything she’s helped build” and said the San Francisco-based company still has “a talented bench of executives” to compete.

OpenAI, which is supported by Microsoft and recently partnered with Apple on AI for the iPhone, is in the midst of a $6.5 billion funding round that should value the company at about $150 billion, according to sources familiar with the matter. Thrive Capital is leading the round and plans to invest $1 billion, according to sources.

Friar said in the email that the funding round was oversubscribed and will close next week. She said the team plans to host a series of investor calls to introduce the group to key leaders from the product and research teams.

“Collectively, we remain focused on bringing AI to everyone and building sustainable revenue models that power our operations and deliver value to our investors and employees,” Friar wrote. The company is “excited to have you with us as we enter our next chapter,” she wrote.

OpenAI declined to comment on the email.

Murati’s departure comes after six and a half years with the company. She briefly served as interim CEO last year after the board abruptly fired Altman. When Altman was quickly reinstated, Murati returned to the role of CTO.

The company is already facing the loss of key executives. Co-founder John Schulman and chief security officer Jan Leike have left to join rival Anthropic. Co-founder Ilya Sutskever has left to start another AI company, while another founder, Greg Brockman, is on leave.

Friar said Mark Chen will step into the role of senior vice president of research and leaders such as Kevin Weil, who joined from Metaand Srinivas Narayanan are “the right people to continue pushing the boundaries of innovation.”

Friar was the former general manager of togetherand before that CFO at Blockthe former Market.

Also Thursday, at a business meeting, Altman denied there were plans for him to take a “giant stake” in the company, saying reports of such a development were “simply not true,” according to a person familiar with the matter. present.

Altman and Friar both said in the meeting, which was conducted by video, that investors had expressed concern that Altman had no equity in the company he co-founded nearly nine years ago, said the person, who asked not to be identified. be called because the meeting was for employees only.

CLOCK: Sam Altman’s top deputies are leaving