OpenAI is generating approximately $13 billion in annual revenue, largely from user subscriptions, while concurrently committing to over $1 trillion in spending over the next decade to expand its computing infrastructure and capabilities.
According to a report from the Financial Times, 70 percent of the company’s revenue is derived from individuals paying $20 per month for chat access. Although ChatGPT has a base of 800 million regular users, only 5 percent of them are paying subscribers who contribute to this revenue.
To support its long-term growth, OpenAI has secured deals for more than 26 gigawatts of computing capacity from suppliers including Oracle, Nvidia, AMD, and Broadcom. The cost of this infrastructure investment is expected to vastly exceed the revenue currently being generated by the company.
To bridge this financial gap, OpenAI has formulated a five-year plan that involves diversifying its operations. The strategy includes pursuing government contracts, developing shopping tools, creating video services, and producing consumer hardware. The company also intends to become a computing supplier itself through its planned Stargate data center project.
Several of America’s most valuable companies now rely on OpenAI for the fulfillment of major contracts. The Financial Times noted that a significant failure at the AI firm could potentially destabilize the broader U.S. market due to this growing dependency.
