What's going on?

OpenAI�s planning a share sale that could value the startup at roughly $90 billion.

What does this mean?

OpenAI isn�t just on track to fling the world toward a dystopian future. ChatGPT’s creator is also set to rake in around $1 billion in revenue this year, a result of licensing out brainy language models to businesses and charging individuals for access to a souped-up version of its all-star chatbot. Still, shaping the way the world works is costly business, so OpenAI�s planning to raise cash by selling a bunch of existing shares to deep-pocketed Silicon Valley investors. If all goes to plan, OpenAI could end up valued at $90 billion or more, enough to land it in the major leagues alongside Elon Musk’s SpaceX and the TikTok overlords at ByteDance.

Why should I care?

Zooming in: Microsoft�s mega shares.
Microsoft owns almost half of OpenAI, having tossed a ton of cash into it earlier this year when the startup was worth around $30 billion. This stock sale, then, could triple the value of OpenAI on Microsoft�s books. Mind you, there�s no guarantee that Microsoft can maintain its lead over fellow tech titans. While Google and Meta tinker away on their own AI competitors, Microsoft will have to contend with a minority stake in the startup: OpenAI�s boss has ruled out going public or selling to the highest bidder in an effort to cap Microsoft�s share below half.

The bigger picture: There�s no free lunch in Silicon Valley.
OpenAI�s sudden success is a clear sign of the buzz around AI. And with businesses, industries, and governments around the world all het up about the tech�s possibilities, any firm that brings new silicon smarts to the market could enter the billion-dollar club in a matter of mere months ��a feat that usually takes many years. But remember: any opportunity that booms quickly can go bust just as fast, so you�ll need to prepare for some serious ups and downs if you�re invested in tech these days.