04:15 PM EST, 01/30/2025 (MT Newswires) -- Microsoft ( MSFT )-backed (MSFT) OpenAI is in preliminary talks to raise up to $40 billion, potentially valuing the company at about $340 billion, The Wall Street Journal reported Thursday, citing sources with knowledge of the matter.

SoftBank is expected to lead the round with a possible investment of $15 billion to $25 billion, according to the media outlet.

The Japanese bank aims to bring in additional backers for the remainder of the funding, though talks remain fluid and could end without a deal, the media outlet reported.

OpenAI's previous valuation was $157 billion in October, when it secured $6.6 billion in funding, WSJ reported.

A portion of the new funds would help OpenAI meet its approximately $18 billion commitment to Stargate, a joint venture with SoftBank and others to build new US data centers for its technology, the media outlet reported.

Microsoft ( MSFT ), OpenAI and Softbank did not immediately respond to a request for comment from MT Newswires.

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