A new milestone was achieved by one of the world’s most popular and biggest AI companies, OpenAI, as the company announced that it hit a $10 billion annual revenue for the first time. This is a significant jump from last year’s valuation of the company which is almost twice as much in value, showing off its massive growth for this year alone thanks to the renowned features and technology.
The latest figure is a combination of the different aspects of OpenAI’s business, centering on its consumer products for users and businesses, with the company able to grow more this year.
OpenAI Now Hit $10 Billion in Annual Revenue
CNBC reported that OpenAI has revealed that it successfully reached a $10 billion annual recurring revenue (ARR) this year, and this signals massive growth for the company in only a few years. It is known that OpenAI only recently launched ChatGPT in late 2022, making this chatbot less than three years old, alongside other products of the company, but in this short span, they were able to achieve a whopping milestone.
It is important to note that last year’s annual recurring revenue for OpenAI only reached $5.5 billion, which means that the company almost doubled its ARR in its latest numbers for the year.
That being said, CNBC noted that this new milestone is a massive thing for the company as it is known to have lost around $5 billion last year. Moreover, this follows a recent successful raising of $40 billion in funding last March.
What Is Next For OpenAI’s Future?
The Information revealed that after this $10 billion ARR achievement, the company plans to raise its revenue to more than 10 times what it is currently valued, targeting $125 billion come 2029.
OpenAI previously revealed last March that it saw a significant boost in its weekly active users reaching 500 million.Moroever, OpenAI also shared that earlier this month, it now has three million paying business users.
OpenAI’s Latest Advancements
This year was a massive one for OpenAI as the company pushed for significant upgrades and new features to its different experiences, particularly with the world-renowned chatbot, ChatGPT. Earlier this year, OpenAI released the free AI image generator on ChatGPT which allowed users to directly create AI-generated images on the platform,without having the need to use DALL-E and others.
Moreover, the company has also debuted the ChatGPT Memory Boost feature that allows the chatbot to be more remembering of past conversations and take these into account in new or existing ones. OpenAI said that this Memory Boost allows ChatGPT to tailor responses and other forms of content based on previous chats, allowing it to havecontext and better suit what a user needs.
There are more plans that OpenAI has in store for users this year, and all of them plan to deliver massive upgrades and new capabilities for its different products, especially ChatGPT, and boost more of its user base. OpenAI currently enjoys a significant number of daily active users and other partners, leading to the company’s latest milestone in revenue for the year.
Originally published on Tech Times
