OpenAI has secured $8.3 billion in new capital as part of its planned $40 billion fundraise, according to a person familiar with the transaction. The round was led by Dragoneer Investment Group with a $2.8 billion check and included new investors such as Blackstone, TPG, and T. Rowe Price, alongside existing backers like Sequoia, Andreessen Horowitz, and Thrive Capital. The raise was completed ahead of schedule and was roughly five times oversubscribed, reflecting surging investor appetite for AI.

The company’s financial metrics are accelerating. OpenAI’s annual recurring revenue has jumped to $13 billion, up from $10 billion in June, and could top $20 billion by year-end. Paid business users of ChatGPT have climbed to five million from three million a few months ago. The broader $40 billion fundraising effort, led by SoftBank, is being done at a $300 billion valuation.

Demand was so intense that some early investors reportedly received smaller allocations than expected as OpenAI prioritized new partners. The fundraising gives OpenAI a significant capital advantage over rivals like Anthropic, which is in talks to secure between $3 billion and $5 billion at a potential $170 billion valuation, and xAI, which has raised $10 billion at a reported $80 billion valuation. The company is currently restructuring to become a for-profit entity and has not announced an IPO timeline.