Apple dropped out of the $6.5 billion investment round at the 11th hour.
A few weeks back, it was reported that Apple was exploring investing in OpenAI, the company that makes ChatGPT, the GPT model, and other popular generative AI products. Now, a new report from The Wall Street Journal claims that Apple has abandoned those plans.
The article simply says Apple “fell out of the talks to join the round.” The round is expected to close in a week or so and may raise as much as $6.5 billion for the growing Silicon Valley company. Had Apple gone through with the move, it would have been a rare event—though not completely unprecedented—for Apple to invest in another company that size.
OpenAI is still expected to raise the funds it seeks from other sources. The report claims Microsoft is expected to invest around $1 billion in this round. Microsoft has already invested substantial sums in OpenAI, whose GPT models power Microsoft AI tools like Copilot and Bing chat.
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As OpenAI CTO and two others depart, Altman denies link to restructuring plansNvidia is also a likely major investor in this round.
Apple will soon offer limited ChatGPT integration in an upcoming iOS update, though it plans to support additional models like Google’s Gemini further down the line, offering users a choice similar to how they pick a default search engine or web browser.
OpenAI has been on a successful tear with its products and models, establishing itself as a leader in the rapidly growing industry. However, it has also been beset by drama and controversy—most recently, some key leaders at OpenAI departed the company abruptly, and it shifted its focus from a research-focused organization that was beholden to a nonprofit, to a for-profit company under CEO Sam Altman. Also, former Apple design lead Jony Ive is confirmed to be working on a new AI product of some kind.
But The Wall Street Journal did not specify which (if any) of these facts are reasons why Apple chose to back out of the investment.
