OpenAI, the artificial intelligence company behind ChatGPT, has reached a valuation of approximately $500 billion through a tender offer that allows employees to sell their shares. This development places OpenAI among the world’s most valuable companies, surpassing Meta and Tesla in market value. The tender offer, led by Thrive Capital, values OpenAI shares at about $86 each, representing a significant increase from the company’s $29 billion valuation just over a year ago. This rapid growth in valuation reflects the intense investor interest in AI technology and OpenAI’s leading position in the field. The company’s success has been largely driven by ChatGPT, its conversational AI system that has gained widespread adoption and sparked increased competition in the AI industry. The valuation comes despite OpenAI’s unique structure as a capped-profit company controlled by a nonprofit organization, and follows a period of turbulence in late 2023 when CEO Sam Altman was briefly fired and then reinstated. The high valuation also highlights the growing importance of AI technology in the global economy and investors’ confidence in OpenAI’s potential to maintain its leadership in AI development. However, the company faces challenges including regulatory scrutiny, competition from other tech giants, and ongoing debates about AI safety and ethics.