The United Arab Emirates' state-backed investment firm MGX is reportedly in talks to invest in OpenAI as part of the artificial intelligence company's multibillion-dollar fundraising round, signalling the Gulf nation's growing ambitions to become a major player in the global AI ecosystem.
According to multiple media reports, OpenAI is seeking to raise as much as $6.5 billion in fresh capital, a funding round that could value the ChatGPT developer at approximately $150 billion, making it one of the world's most valuable private technology companies.
While the size of MGX's potential investment has not been disclosed, its participation would add another sovereign-backed investor to OpenAI's expanding list of financial supporters.
The fundraising round is expected to be led by venture capital firm Thrive Capital, which has reportedly committed $1 billion. Existing investor Microsoft is also in discussions to participate alongside technology giants Apple and Nvidia, underscoring continued investor confidence in generative AI despite increasing competition across the sector.
MGX was established in January 2024 to accelerate the UAE's investments in artificial intelligence and advanced technologies. The investment company is chaired by Sheikh Tahnoun bin Zayed Al Nahyan and is backed by Abu Dhabi sovereign wealth fund Mubadala Investment Company and UAE-based AI company G42.
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The firm was created to channel long-term capital into AI infrastructure, semiconductors, data centres and other technologies expected to underpin the next generation of digital economies.
A potential investment in OpenAI would further strengthen the UAE's position as one of the Middle East's most active investors in artificial intelligence. Over the past year, the country has increased investments in AI research, computing infrastructure and strategic technology partnerships as part of its broader economic diversification agenda.
The move would also deepen ties between Gulf investors and leading global AI companies at a time when governments are increasingly competing to secure access to advanced AI technologies, computing power and talent.
For OpenAI, the fundraising comes as the company continues to expand its product portfolio and infrastructure requirements. The company has introduced enterprise AI tools, expanded access to ChatGPT, and invested heavily in the computing resources needed to train increasingly sophisticated AI models.
If completed, MGX's investment would represent another milestone in the UAE's efforts to position itself not only as a regional AI hub but also as a strategic global investor shaping the future of artificial intelligence.
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