Eh? That article says nothing about their profit margins. Today they have something like $3.5B in ARR (not really, that’s annualized from their latest peak, in Feb they had like $2B ARR). Meanwhile they have operating costs over $7B. Meaning they are losing money hand over fist and not making a profit.
I’m not suggesting anything else, just that they are not profitable and personally I don’t see a road to profitability beyond subsidizing themselves with investment.
OpenAI is begging the British Parliament to allow it to use copyrighted works because it’s supposedly “impossible” for the company to train its artificial intelligence models — and continue growing its multi-billion-dollar business — without them.
And if you follow the link the title of the article says it all:
#OpenAI is set to see its valuation at $80 billion—making it the third most valuable startup in the world
OpenAI is burning billions of dollars not making profit.
Sounds like they are operating the same as all the other big tech companies then
Wrong
https://futurism.com/the-byte/openai-copyrighted-material-parliament
Eh? That article says nothing about their profit margins. Today they have something like $3.5B in ARR (not really, that’s annualized from their latest peak, in Feb they had like $2B ARR). Meanwhile they have operating costs over $7B. Meaning they are losing money hand over fist and not making a profit.
I’m not suggesting anything else, just that they are not profitable and personally I don’t see a road to profitability beyond subsidizing themselves with investment.
It’s in the first bloody paragraph. 😮💨
And if you follow the link the title of the article says it all:
#OpenAI is set to see its valuation at $80 billion—making it the third most valuable startup in the world
I take it you don’t understand how startups work?
OpenAI is not making any profit and is losing money hand over fist today. Valuation and raising investment rounds isn’t profit.