Using artificial intelligence to value.... artificial intelligence. How much might OpenAI be worth?
20 Oct 2023
OXFORD, UK, October 20th, 2023
OxValue.AI, a deeptech spin-off from the University of Oxford, has used its proprietary artificial intelligence model to estimate the valuation of OpenAI, the leading AI company behind ChatGPT. According to OxValue.AI, OpenAI is worth $70 billion to $84 billion, based on public data*.
We use a proprietary theoretical framework to value new technologies.
Our approach benefits from being objective and based on facts. Our algorithms are infused with big data including research, patent and fundraising information from more than 100,000 companies sampled worldwide over more than a decade. How we do this is part of our "smarts".
We believe that this novel approach delivers potent results. We have been working on it, combining real thinking with techniques such as machine learning, for more than six years.
To illustrate the power of the model, we are pleased to share some further representative results. The chart appended below shows that our model can achieve 90% accuracy* , when we compare our before-the-fact predictions with actual valuations. As we have valued an artificial intelligence company for this exercise, the data sampled for this back test consists of 3,057 California-based ICT companies over the period from 2010-22.
These are real companies raising real money, and doing so around the valuations we predict.
And we don't just do ICT businesses. We have worked with industry leaders and academic thinkers to optimise our model for a variety of sectors ranging from drug discovery through medical devices (and also other mechanical types) to renewable energy, materials and fintech.
In every case, our method also provides a decomposition of the sources of the value we estimate.
OxValue.AI is delighted to now be in the process of making its technology available to the wider world. Get in touch to join our mission to Make Valuation Easy.
- This is a theoretical exercise based on hypotheses. OpenAI is not party to this exercise. Information used in creating the valuation is in the public domain or has been estimated by the OxValue.AI team.
- Accuracy taken as predictions yielding results within +/- 15% of actual observed valuations on raising of funds.
OxValue.AI is a privately-backed deeptech spin-off from the University of Oxford. It has created a suite of practical valuation tools for new technologies and startups. OxValue.AI aims to transform technology valuation by making it accurate, accessible, and affordable.
About Professor Xiaolan Fu
Professor Xiaolan Fu is the founder of OxValue.AI. She serves as a Professor of Technology and International Development at the University of Oxford and is a Fellow of the Academy of Social Sciences. She is Founding Director of the Technology and Management Centre for Development.
Her broad academic interests include innovation and technology management and policy, trade, foreign direct investment, and economic development. She has been appointed by the United Nations Secretary-General to the Governing Council of the UN Technology Bank and the Advisory Group of the UN Technology Facilitation Mechanism.
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X (Twitter): @OxvalueA