OpenAI‘s latest funding round is reportedly falling short of expectations.

Multiple reports — first from The Financial Times, then The Wall Street Journal — indicate the company has lowered its target from an earlier reported $30 billion at a $1.

4 trillion valuation, and then $1.25 trillion, to $20 billion.

The FT reported that the round’s first close is expected to be even lower and that it will be led by a group of UAE-based investors, with a retail offering for wealthy individuals potentially bringing total proceeds to the $20 billion target.

The WSJ added that OpenAI has secured about $11 billion so far and described large investors’ response as “tepid.” TechCrunch has reached out to OpenAI for comment.

The reported slowdown may be partly due to timing: Wall Street has grown wary of heavy AI infrastructure spending, triggering a sell-off in tech stocks.

The article also notes that Anthropic‘s planned IPO could face similar challenges.