The proposed venture could carry a pre-money valuation of around $10 billion, with the PE firms committing about $4 billion and securing board seats and influence over technology deployment. TPG would serve as the anchor investor, while the others act as co-founders, News.Az reports, citing Reuters.
OpenAI is offering preferred equity, giving investors priority returns and downside protection, contrasting with competitor Anthropic, which is pursuing PE partnerships offering common equity. Both AI companies are racing to gain enterprise adoption as they consider potential initial public offerings this year.
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OpenAI’s enterprise business generated $10 billion in annualized revenue last month, out of total revenue of $25 billion, reflecting strong corporate demand. The venture could also facilitate the rollout of Frontier, OpenAI’s new platform that pairs engineers with consulting firms like BCG, McKinsey, Accenture, and Capgemini to embed AI agents into core business processes.
Fidji Simo, OpenAI’s CEO of Applications, emphasized the strategy: “We want to help our customers deploy these technologies in all the ways that help them create impact. Frontier Alliances and this deployment arm will enable AI to be deeply embedded throughout organizations.”
