dan

joined 2 years ago
[–] dan@upvote.au 7 points 1 day ago* (last edited 1 day ago) (1 children)

that make it sound bad and unprofitable

It is unprofitable, though.

OpenAI recently hit $10 billion in ARR and are likely to hit $12.7b by the end of the year, but they're still losing a lot of money. They don't think they'll make a profit until 2029, and only if they hit their target of $125 billion revenue. That's a huge amount of growth - 10x in 4 years - so I'm interested as to if they'll actually hit it.

[–] dan@upvote.au 8 points 1 day ago* (last edited 1 day ago) (8 children)

Their point is that those API prices might not match reality, and the prices may be artificially low to build hype and undercut competitors. We don't know how much it costs OpenAI, however we do know that they're not making a profit.

[–] dan@upvote.au 2 points 1 day ago (5 children)

How does OpenAI getting less money (with a cheaper model) mean more profit? Am I missing something?

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