Skip to main content

Featured Post

Market Daily Report: Bursa Malaysia Gives Up Earlier Gains To End Mixed

KUALA LUMPUR, Nov 19 (Bernama) -- Bursa Malaysia gave up earlier gains to end mixed today, amid a higher regional market showing, as property, construction, and healthcare counters attracted buying interests, while plantation, banking, and telecommunication stocks saw some profit-taking, an analyst said. At 5 pm, the FTSE Bursa Malaysia KLCI (FBM KLCI) eased 1.70 points to close at 1,602.34 from yesterday’s close of 1,604.04. The benchmark index, which opened 0.86 of-a-point lower at 1,603.18, moved between 1,601.02 and 1,608.88 during the trading session. However, the broader market was mixed to higher, with gainers leading decliners by 565 to 438 while 502 counters remained unchanged, 961 untraded, and 14 suspended. Turnover narrowed to 2.83 billion units valued at RM2.08 billion versus 2.96 billion units valued at RM2.23 billion yesterday. Rakuten Trade Sdn Bhd equity research vice-president Thong Pak Leng said the benchmark index remained range-bound and it required a dec
Post a Comment

OpenAI Projects Explosive Revenue Growth Amid Major Funding Boost, Apple Backs Out of Investment Talks


Thrive Capital is investing over US$1 billion in OpenAI's current US$6.5 billion fundraising round, with an exclusive option to invest another US$1 billion next year at the same valuation if the AI company meets a specific revenue goal, according to sources familiar with the matter.

OpenAI's revenue is projected to surge to US$11.6 billion in 2025, up from an estimated US$3.7 billion this year, marking a significant leap in the company's financial trajectory. Despite this optimism, the company is facing potential losses of up to US$5 billion this year, largely due to the heavy costs associated with computing power, a source added.

The current funding round, structured as convertible debt, is expected to wrap up by the end of next week and could value OpenAI at US$150 billion, placing it among the world's most valuable private companies. This valuation hinges on completing a complex restructuring to shift control from its non-profit board and remove the cap on investor returns.

Thrive Capital, led by Joshua Kushner, is also offering US$1.2 billion through a combination of its own fund and a special purpose vehicle. Key players in the round include Microsoft, Nvidia, and Khosla Ventures, but only Thrive received the option to invest at a future discounted price, should OpenAI continue its rapid growth.

OpenAI's CEO Sam Altman had earlier forecasted US$1 billion in revenue for 2024, but expectations have now soared. The company's flagship product, ChatGPT, is anticipated to generate US$2.7 billion in revenue this year, a substantial increase from US$700 million in 2023. ChatGPT currently boasts about 10 million paying users, each paying a monthly subscription fee of US$20.

Apple Exits Investment Talks

In a surprising turn, Apple has reportedly withdrawn from negotiations to join the US$6.5 billion funding round. The Wall Street Journal reported that Apple recently exited talks, citing a source familiar with the situation. Microsoft, meanwhile, is expected to invest US$1 billion in the round, adding to its prior US$13 billion investment in OpenAI.

The high valuation of over US$100 billion for OpenAI is a reflection of the AI arms race ignited by the launch of ChatGPT in late 2022, prompting companies across various industries to invest billions in AI to stay competitive.

Labels:

Comments

Post a Comment

Popular posts from this blog

INTC Share Watch and News

Stock Info Market Monitor Company Profile Intel Corporation designs, manufactures, and sells integrated circuits for computing and communications industries worldwide. It offers microprocessor products used in notebooks, netbooks, desktops, servers, workstations, storage products, embedded applications, communications products, consumer electronics devices, and handhelds. The company also offers system on chip products that integrate its core processing functionalities with other system components, such as graphics, audio, and video, onto a single chip. It also provides chipset products that send data between the microprocessor and input, display, and storage devices, such as keyboard, mouse, monitor, hard drive, and CD or DVD drives; motherboards that has connectors for attaching devices to the bus, and products designed for desktop, server, and workstation platforms; and wired and wireless connectivity products, including network adapters and embedded wireless cards used to translat
1 comment
Read more

3M Raises Profit Forecast After Beating Quarterly Estimates on Electronics Demand

3M Co raised the lower end of its full-year adjusted profit forecast after strong demand for electronics and industrial products helped the company surpass quarterly profit expectations. Shares of 3M were up 4.2% at $140.5 in pre-market trading. An increase in demand for electronics used in vehicles and mobile phones boosted profits for the company, which had previously faced challenges as high inflation led consumers to delay major purchases. The industrial sector is also expected to benefit from the recent US Federal Reserve decision to cut borrowing costs in September, encouraging more consumer spending. 3M has implemented cost-cutting measures, including job reductions and spinning off its healthcare business, to counter the impact of a demand slowdown . Key highlights from the report: Sales in the transportation and electronics segment grew 1.8% year-on-year. Sales in the safety and industrial segment , which produces adhesives for industrial use, increased by 0.5% . 3M&
Post a Comment
Read more

Key Corporate Updates from Malaysia

Ekovest Bhd : Major shareholder Tan Sri Lim Kang Hoo is considering selling his toll-road business, Konsortium Lebuhraya Utara-Timur (KL) Sdn Bhd (Kesturi), for up to RM5 billion. Ekovest owns 60% of Kesturi, with the remainder held by the Employees Provident Fund (EPF). Eco World Development Group Bhd : Through its subsidiary Mutiara Balau Sdn Bhd, EcoWorld is acquiring 847.25 acres in Semenyih, Selangor for RM742.41 million to develop Eco Forest 2, a project with an estimated RM4.6 billion in gross development value. Mah Sing Group Bhd : Mah Sing has purchased 5.24 acres on Old Klang Road for RM113 million to build M Aurora, a transit-oriented development with an estimated RM660 million gross development value, anticipated for launch in early 2025. Pentamaster Corp Bhd : The company’s third-quarter net profit dropped 49.9% to RM11.77 million, impacted by lower sales in its automated test equipment division and foreign exchange losses. Sentral REIT : The REIT saw a 25
Post a Comment
Read more