With the rapid growth of AI and the associated demand for the technology, OpenAI is on track to reach $1 billion in annual revenue.

The ChatGPT program has taken over the digital world since its inception last year. This success and the popularity of the GPT models and the general demand for AI will benefit OpenAI. The company is on track to reach $1 billion in annual sales. The Information reports.

Hooray mood

At the pace OpenAI is currently running, the company would make $1 billion over the next 12 months. The current monthly average is $80 million, so this forecast isn’t just made out of thin air.

It doesn’t take a business genius to realize that OpenAI owes this growth to the launch and growth of ChatGPT. To emphasize this factor, the company’s total revenue last year was $28 million. According to OpenAI, more than eighty percent of Fortune 500 companies use the AI ​​model.

Especially the paid version ChatGPT Plus with more options proved to be a hit. The financial expectations of the recently launched ChatGPT Enterprise for professionals and large companies are therefore undoubtedly high. The chatbots are not the only source of income that OpenAI can count on. It also sells API access to the various AI models.

Not an all-around good news show

However, the financial reports are not all rosy: OpenAI had 540 million last year. Loss. Its showpiece therefore costs a lot to maintain, even around $700,000 a day. This may increase as OpenAI expands the program. Fortunately, despite the sometimes strained relationship, the company can count on investments from Microsoft. There are even reports that the company wouldn’t even survive without investors.

In addition, OpenAI does not always receive positive attention. The likelihood of indictment by the New York Times is increasing, and in June ChatGPT’s user base declined for the first time since its inception. OpenAI’s market value was estimated at $27-$29 billion in April.