Stripe's multi-billion-dollar pursuit of AI model marketplace startup OpenRouter isn't just creating one of the biggest AI acquisitions of the year; it's minting venture capital firms' speedy wins.
Andreessen Horowitz and Menlo Ventures are poised to turn investments made less than two years ago into payouts worth nearly $2 billion combined if Stripe acquires the AI model marketplace for more than $8 billion, according to people familiar with the matter.
Andreessen, Menlo, and OpenRouter did not respond for comment. Stripe declined to comment.
OpenRouter helps developers direct their tasks to different AI models. The startup also monitors for overspend and quickly resolves outages — and they're seeing a gigantic surge in demand. The company says it has over 10 million users.
OpenRouter's cofounder and CEO is Alex Atallah, who also co-founded OpenSea, the crypto token trading marketplace, once valued at over $13 billion. In late May, OpenRouter announced it raised $113 million, valuing it at $1.3 billion.
A16z, whose investment was led by former general partner Anjney Midha, owns more than 17% of OpenRouter, according to people familiar with the matter. This would net the investment firm a payday of close to $1.5 billion, if acquired at $8 billion. The firm spent around just $20 million to get this stake, having first invested in the seed round last year.
Menlo Ventures, led by partner Matt Murphy, invested in the Series A shortly thereafter, amassing a stake of more than 6%, the people said. The firm spent less than $50 million to acquire this stake, which is now worth more than $500 million. Other investors include CapitalG, Sequoia Capital, ServiceNow, and Snowflake.
The Wall Street Journal first reported the Stripe/OpenRouter acquisition talks. Axios earlier reported the $8 billion deal price. The deal highlights how quickly the AI boom is rewarding both startups and their investors. Companies building tools that help businesses use multiple AI models have become increasingly valuable, resulting in billion-dollar exits within a few years.