OpenAI has acquired product development startup Statsig for $1.1 billion, marking one of the company’s largest acquisitions to date as it continues expanding ChatGPT’s capabilities. The deal brings Statsig’s A/B testing and real-time data analysis platform directly into OpenAI’s operations, while Statsig CEO Vijaye Raji will join OpenAI as technology chief for the applications unit.
What you should know: Statsig specializes in experimentation platforms that power A/B testing, feature flagging, and real-time decision-making for major companies.
- The Seattle-based startup was already working alongside OpenAI to test features and integrate real-time data into daily operations before the acquisition.
- “As part of this transition, we’re acquiring Statsig, one of the most trusted experimentation platforms in the industry — powering A/B testing, feature flagging, and real-time decisioning for some of the world’s most innovative companies, including OpenAI,” the company announced.
In plain English: A/B testing is like running two versions of the same webpage or app feature simultaneously to see which one performs better—similar to how a store might test two different window displays to see which attracts more customers. Feature flagging allows companies to turn new features on or off instantly without updating their entire software, while real-time decisioning helps systems automatically choose the best option based on current data.
Key details: The acquisition includes specific terms designed to maintain continuity for existing customers and employees.
- Statsig will continue operating independently from its Seattle-area office and serving existing customers once the deal closes.
- All Statsig employees will have the option to transition to OpenAI as part of the acquisition.
- The deal remains subject to customary closing conditions, including regulatory review.
The big picture: This acquisition fits into OpenAI’s broader expansion strategy following significant recent fundraising and acquisition activity.
- The company raised $40 billion in March specifically to “push the frontiers of AI research,” scale compute infrastructure, and continue developing ChatGPT’s capabilities.
- OpenAI also acquired Jony Ive’s AI hardware startup IO in May for nearly $6.5 billion in an all-equity deal, and purchased analytics database firm Rockset in 2024 for an undisclosed sum.
What they’re saying: Raji emphasized the strategic focus on scaling AI-powered experiences through the partnership.
- “We’re going to join forces with OpenAI to vastly expand our mission, while maintaining continuity for our current customers,” he wrote in a LinkedIn post.
- The deal will focus on building “AI-powered experiences at scale,” according to Raji.
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