▶ Employee Count Grows to 1,700
OpenAI, the developer of the conversational AI tool ChatGPT, has seen its annual revenue surpass $2 billion so far this year, according to a report by The New York Times (NYT) on the 3rd of September.
Last year, OpenAI's annual revenue was $1.6 billion, and with four months left until the end of this year, the company has already exceeded that amount. OpenAI is targeting over $3.4 billion in revenue this year, more than double last year's figure.
The majority of OpenAI's revenue comes from the $20 per month ChatGPT subscription service. In addition, the company launched an "AI App Store" in January, also priced at $20 per month.
Currently, ChatGPT has around 200 million weekly active users (WAUs). This figure has doubled in just nine months since surpassing 100 million in November last year. However, OpenAI's expenses for AI technology development significantly outpace its revenue. While NYT reports that OpenAI's exact annual expenditures are not disclosed, estimates suggest they amount to approximately $7 billion—twice the company’s revenue target for this year. Significant costs are associated with developing new AI models and the substantially increased payroll.
OpenAI's workforce has grown from around 300 employees to over 1,700, with 80% of the growth occurring after the launch of ChatGPT in November 2022.
Since 2019, OpenAI has secured $13 billion in investments through its partnership with Microsoft (MS). Recently, the company has been seeking additional large-scale funding.
The latest funding round is expected to include participation not only from existing investor MS but also from Apple, the top company by market capitalization in the U.S. stock market, and Nvidia, a leader in AI chip production.
The NYT also reported that as OpenAI pursues more investment, it is considering significant changes to its company structure. Founded in 2015 as a nonprofit organization, OpenAI now operates as a for-profit entity that is managed by a nonprofit board overseeing the development of ChatGPT.
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