OpenAI hits $500B valuation in secondary sale, becoming potentially the world’s most valuable startup.

OpenAI has reached a $500 billion valuation after a secondary share sale allowing employees to sell $6.6 billion in shares to investors including Thrive Capital, SoftBank, and T. Rowe Price, potentially making it the world’s most valuable startup, surpassing SpaceX. The deal reflects strong investor confidence in AI despite OpenAI not yet being profitable. The company has launched new AI tools for Etsy and Shopify and a video app called Sora, diversified partnerships beyond Microsoft to include Oracle, Nvidia, and SoftBank, and launched a $50 million grant program for nonprofits focused on AI education and equity, with applications due October 8. Regulatory scrutiny continues from California and Delaware over its nonprofit structure. CEO Sam Altman acknowledged AI bubble risks but remains confident in the technology’s long-term benefits.