OpenAI's latest fundraising effort appears to be falling short of initial projections, according to multiple reports. The company had previously been reported to be seeking $30 billion at a $1.4 trillion valuation, later revised to a $1.25 trillion valuation, in anticipation of a planned IPO. However, on Friday, it was reported that the company has since reduced its funding target to $20 billion, with an initial close expected to come in even below that figure. The round is set to be led by a consortium of investors from the United Arab Emirates, according to the report. A subsequent retail offering aimed at wealthy individuals could potentially push the total funding amount up to the $20 billion goal.

Additional reporting offered further specifics, indicating that the company has secured $11 billion thus far and that its fundraising efforts have drawn a "tepid" response from some large investors. The company's reported funding difficulties can be attributed in part to unfortunate timing, as Wall Street investors have grown cautious about heavy spending on AI infrastructure, triggering a significant selloff of tech stocks. Anthropic's planned IPO may also be encountering its own set of challenges.