OpenAI generates bulk of revenue through subscriptions: report
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- Microsoft-backed (NASDAQ:MSFT) OpenAI generates about 75% of its revenue through subscriptions, according to the startup’s chief financial officer Sarah Friar, during an interview with Bloomberg on Monday.
- “We have been wowed at just the pace of growth, particularly on the consumer side,” Friar said, according to the report. “Even our enterprise businesses, they are young, but they are already doing an incredible amount of annualized revenue. We’re really excited by the potential there.”
- OpenAI offers a subscription service for its GPT-4 model for $20 per month. It also offers tokens for a wide variety of prices.
- OpenAI is expected to lose approximately $5B this year despite generating $3.7B in revenue.