According to a report from the Financial Times, OpenAI is generating approximately $13 billion in annual revenue, with 70% of that amount coming from consumers paying $20 per 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 this revenue, OpenAI has committed to spending over $1 trillion during the next decade. The company has secured deals for more than 26 gigawatts of computing capacity from Oracle, Nvidia, AMD, and Broadcom, with this infrastructure projected to cost significantly more than its current income.

To address this financial gap, OpenAI’s five-year plan involves exploring government contracts, shopping tools, video services, consumer hardware, and potentially becoming a computing supplier through its Stargate data center project.

The Financial Times notes that a growing number of businesses require this strategy to succeed, as some of America’s most valuable companies now depend on OpenAI to fulfill major contracts. A potential failure by OpenAI could risk destabilizing the broader U.S. market.

Source: IndexBox Market Intelligence Platform