Microsoft is in talks to fund a humanoid robot startup "Figure AI"

The business is seeking additional investors for a deal, with Microsoft offering $95 million and OpenAI contributing $5 million, according to an anonymous insider.

A person with knowledge of the situation claims that Figure AI Inc., a startup creating robots that resemble people, is in talks to raise as much as $500 million in a funding round headed by Microsoft Corp. and OpenAI. The startup is looking for more funding.

The insider, who wished to remain anonymous due to the private nature of the discussions, stated that the business is looking for more investors for the deal. Microsoft would provide roughly $95 million, and OpenAI would contribute $5 million in one scenario that is being discussed.

According to this source, the deal might give Figure AI a pre-money valuation of $1.9 billion, which is a measurement of the startup value excluding the funds raised. Depending on the amount raised, Figure AI's post-money valuation may be much higher, easily making the business a unicorn twice over.

The investment amounts may vary or the deals may still collapse because the funding cycle is not yet complete.

Figure AI is developing a human-like robot with artificial intelligence (AI). According to the business, it hopes that Figure 01, its machine, will be able to carry out hazardous tasks that are inappropriate for humans and that its technology will help address the labor crisis.

Parkway Venture Capital led a $70 million investment round for Figure AI last May.