6 October 2026
Several UAE investment funds, including Abu Dhabi’s MGX, are in talks to anchor a new OpenAI funding round of at least USD 30 billion (around AED 110 billion), Bloomberg reported on Monday, 5 October 2026, citing people familiar with the matter. The UAE funds have discussed investing as much as USD 10 billion (around AED 36.7 billion) together as a syndicate, which would be about a third of the round. BlackRock is also in talks to take part. The round would value OpenAI at about USD 1.4 trillion (around AED 5.1 trillion) before the new money. The talks are ongoing and the terms could change: OpenAI and BlackRock declined to comment, and MGX did not respond.
What is known about the new OpenAI round
According to the reports, OpenAI is seeking at least USD 30 billion. Instead of negotiating the price with a lead investor, which is the usual practice in venture deals, OpenAI has not named a lead and is offering investors a fixed pre-money valuation of about USD 1.4 trillion. The UAE funds would come in as a syndicate and act as anchor investors, alongside BlackRock.
Other investors have also held talks about the round. They include the University of California endowment and two existing OpenAI backers, Thrive Capital and Andreessen Horowitz. None of the participants or amounts has been confirmed, and the reports say the list of investors and the size of their commitments may still change.
The new round comes six months after the previous one. In March 2026 OpenAI raised USD 122 billion at a valuation of USD 852 billion. A pre-money valuation of USD 1.4 trillion would be about 64% higher. OpenAI has also pushed back plans for an initial public offering to at least 2027, so the new money would arrive while the company remains private.
| Indicator | Figure |
|---|---|
| Target size of the new round | At least USD 30 billion (around AED 110 billion) |
| Joint commitment discussed by UAE funds | Up to USD 10 billion (around AED 36.7 billion) |
| Pre-money valuation offered by OpenAI | About USD 1.4 trillion (around AED 5.1 trillion) |
| Previous round, March 2026 | USD 122 billion at a USD 852 billion valuation |
| Capital raised by MGX in 2026 | Close to USD 50 billion (around AED 184 billion) |
| OpenAI IPO | Postponed to 2027 at the earliest |
Who is MGX
MGX is an Abu Dhabi investment company focused on artificial intelligence. It was set up in 2024 with Mubadala and G42 as founding partners, and its chairman is Sheikh Tahnoon bin Zayed Al Nahyan. The company invests in AI infrastructure, semiconductors and AI technology companies.
MGX has already taken part in previous funding rounds of OpenAI and Anthropic, and it is one of the equity partners in Stargate, the AI infrastructure venture in the United States announced in January 2025 together with OpenAI, SoftBank and Oracle. In June 2026 MGX raised close to USD 50 billion from regional sovereign wealth funds, global pension funds and large institutional investors to speed up its AI investments, which gives it capital for deals of this size.
MGX and BlackRock already invest together
The two potential anchors of the OpenAI round have an existing partnership. In September 2024 BlackRock, Global Infrastructure Partners, Microsoft and MGX launched what is now called the AI Infrastructure Partnership, a vehicle that aims to mobilise USD 30 billion of private equity capital, and up to USD 100 billion including debt, for data centres and the energy that powers them. Nvidia supports the partnership as a technology partner. Joint participation in the OpenAI round would extend this cooperation from infrastructure to the model developer itself.
OpenAI’s footprint in the UAE
OpenAI’s ties with Abu Dhabi go beyond capital. In May 2025 OpenAI, G42, Oracle, Nvidia, Cisco and SoftBank announced Stargate UAE, a 1 gigawatt AI computing cluster in Abu Dhabi. G42 builds it, while OpenAI and Oracle operate it. The first 200 megawatt phase was scheduled to come online in 2026. The cluster is part of the 5 gigawatt UAE and US AI Campus in Abu Dhabi.
The flow of advanced chips into the country is the other side of this story. We covered the change in US rules in our article on how the US lifted export controls on AI chips and defence technology for the UAE.
What it means for companies in the UAE
The talks do not change any licence rule, fee or procedure in the UAE. The round has not closed, and the final commitments of the UAE funds may differ from the figures discussed. Still, three practical points follow for businesses here.
AI founders and technology companies
The disclosed investments of MGX are in model developers such as OpenAI and Anthropic and in computing infrastructure such as Stargate and the AI Infrastructure Partnership. For an AI company that plans to raise capital in the UAE, investors will look at the same basics as anywhere else: a clean corporate structure, clear ownership and a licence whose activities match the business.
Companies that use AI services
Nothing changes for users of ChatGPT or other AI services in the UAE because of this round. Local computing capacity depends on Stargate UAE and other data centre projects, and companies that plan to keep data and workloads in the country should follow official announcements from G42, OpenAI and Oracle on when capacity becomes available.
Investors holding stakes from the UAE
Investors who hold stakes in technology companies through a UAE entity usually do so through a holding company in a free zone or an international financial centre such as ADGM or DIFC. Corporate tax applies at 9% on taxable income above AED 375,000, and a qualifying free zone person can apply 0% to qualifying income if it meets the conditions.
Checklist for setting up an AI or technology company in the UAE:
- Decide between mainland and a free zone based on where your clients are and whether you will trade directly in the local market.
- Choose licence activities that match the work you do, for example software development, AI research or technology consultancy.
- Plan data protection: Federal Decree-Law No. 45 of 2021 applies onshore, while DIFC and ADGM have their own data protection laws.
- Prepare shareholder documents and keep the ultimate beneficial owner register up to date.
- Register for corporate tax and track the AED 375,000 threshold for the 9% rate.
- Open a corporate bank account early: banks ask for a business plan, the source of funds and contracts with clients or investors.
How Atlant Capital can help
An AI business that wants to attract investors needs a licence and a bank account that match its model. Through our company setup service we select the free zone, mainland or financial centre jurisdiction and the activities that fit technology and AI work, and we prepare the structure for future shareholders. Through our bank account opening service we build the file for the bank and support you through compliance checks. Our UAE company formation guide explains the steps, documents and timelines, and our article on how Gulf funds are positioned for the Anthropic IPO shows how MGX and other regional investors approach AI deals.
Conclusion
OpenAI is in talks with UAE funds led by MGX to anchor a round of at least USD 30 billion at a pre-money valuation of about USD 1.4 trillion, with the UAE syndicate discussing up to USD 10 billion and BlackRock in talks to join. Six months ago OpenAI raised USD 122 billion at USD 852 billion, and its IPO is now expected no earlier than 2027. The terms are not final, and the deal does not change rules or procedures for companies in the UAE.
Source: Bloomberg.
FAQ
How much could UAE funds invest in OpenAI?
According to Bloomberg, several UAE funds including MGX have discussed investing as much as USD 10 billion (around AED 36.7 billion) together as a syndicate. That would be about a third of a round of at least USD 30 billion. The terms are not final and could change.
What valuation is OpenAI seeking in the new round?
OpenAI is offering investors a fixed pre-money valuation of about USD 1.4 trillion (around AED 5.1 trillion). In March 2026 it raised USD 122 billion at a valuation of USD 852 billion. OpenAI has not named a lead investor for the new round.
What is MGX?
MGX is an Abu Dhabi investment company focused on artificial intelligence, set up in 2024 with Mubadala and G42 as founding partners and chaired by Sheikh Tahnoon bin Zayed Al Nahyan. In 2026 it raised close to USD 50 billion. It has invested in earlier rounds of OpenAI and Anthropic.
Does the OpenAI round change anything for companies in the UAE?
No. The talks do not change any licence rule, fee or procedure in the UAE, and the round has not closed. For companies, the practical link with OpenAI in the country is Stargate UAE, a 1 gigawatt AI computing cluster in Abu Dhabi with a first 200 megawatt phase scheduled for 2026.
