According to a report by the Financial Times, OpenAI generates nearly $13 billion in annual revenue, and 70% of that comes from consumers who pay $20 a month for its chat service.
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The company’s ChatGPT service has 800 million regular users, but only 5% of those users are paying subscribers.
Despite these revenues, OpenAI has committed to spending more than $1 trillion over the next decade. The company has secured deals for more than 26 gigawatts of computing capacity from Oracle, Nvidia, AMD and Broadcom, and this infrastructure is expected to cost much more than its current income.
To address this financial gap, OpenAI’s five-year plan includes exploring government contracts, shopping tools, video services and consumer devices, and possibly becoming a computing supplier through the Stargate data center project.
The Financial Times notes that a growing number of companies need this strategy to succeed, with some of America’s most valuable companies now relying on OpenAI to fulfill major contracts. The potential failure of OpenAI would risk destabilizing the broader US market.
Source: Market intelligence platform IndexBox
