Artificial intelligence is transforming the way we live and work, and it is crucial to stay up-to-date on the latest developments and trends in the field.
OpenAI is at the forefront of these developments.
OpenAI’s ChatGPT has taken the internet by storm and it has surpassed the expectations of everyone with its conversational AI.
Whether you are a technologist, a business leader, or simply curious about the future of AI, these 19 OpenAI statistics provide a glimpse into the exciting possibilities that lie ahead.
Who founded OpenAI?
OpenAI was founded by Elon Musk, Sam Altman, Greg Brockman, John Schulman, and Ilya Sutskever as a Non – profit in 2015.
The goal of the company is to advance and promote research in the field of artificial intelligence, with a focus on creating safe and beneficial AI technologies.
On February 2018, Musk resigned from his board, citing “a potential future conflict (of interest)” with Tesla AI development for self-driving cars, but remained a donor.
In 2019, OpenAI transitioned from non-profit to “capped” for-profit, with profit cap set to 100X on any investment.
Following this, Microsoft invested US$1 billion into the company.
OpenAI announced its intention to commercially license its technologies, with Microsoft as its preferred partner.
Does Microsoft own OpenAI?
The current shareholder structure is not clear. However, as of February 2023, Microsoft is planning to invest another USD $10 billion to OpenAI.
The investment from Microsoft is said to be part of an agreement in which the company will receive 75% of OpenAI’s profits until it has recouped its investment.
After that threshold is reached, it would revert to a structure that reflects ownership of OpenAI, with Microsoft having a 49% stake, other investors taking another 49% and OpenAI’s nonprofit parent getting 2%. There’s also a profit cap that varies for each set of investors — unusual for venture deals, which investors hope might return 20 or 30 times their money.
How many users does OpenAI have?
Here are some quick statistics about OpenAI traffic, as of December 2023.
- OpenAI.com has an estimated 1.8 billion monthly visitors.
- OpenAI is the 16th most popular site in the world.
- The average visit duration of the site is 5 minutes and 21 seconds.
- The majority of OpenAI’s traffic is coming from the US (15%).
- 77% of OpenAI’s traffic is from Direct.
- 15% of OpenAI’s traffic is from Searches.
- 4.37% of OpenAI’s traffic is from Social.
- Youtube accounts for 56.7% of OpenAI’s Social traffic.
- Twitter accounts for 4.67% of OpenAI’s Social traffic.
- 0.62% of OpenAI’s traffic is from Referrals.
- 62% of users are male.
- 35% of users are in the age group 25-34.
- 28% of users are in the age group 18-24.
How does OpenAI make money?
As a research-based organization, OpenAI is primarily funded through investments and partnerships with other companies and organizations.
These partnerships allow OpenAI to access the resources and expertise necessary to advance its research and development efforts. In some cases, OpenAI may also generate revenue through licensing or selling its AI technologies to other companies.
Additionally, the company may generate income from grants and donations.
However, the specific details of OpenAI’s revenue sources and financial operations are not publicly widely known.
What are the products of OpenAI?
Some of the products of Open AI are provided below.
OpenAI’s GPT-3 is the largest language model ever created. GPT-3 process and understand large amounts of text data.GPT-3 can perform a wide range of tasks with impressive accuracy, including translation, summarization, and question answering.
OpenAI’s DALL-E model can generate images from text descriptions, allowing it to create unique and creative art.
OpenAI’s AlphaZero algorithm can learn to play a wide range of games, including chess and Go, by playing against itself and improving over time.
OpenAI’s RoboSumo competition challenges participants to build AI-powered robots that can compete in a sumo wrestling tournament.
OpenAI’s MuseNet can generate original music by learning from a large dataset of existing music and using AI to create unique compositions.
What is ChatGPT?
ChatGPT is a chatbot developed by OpenAI that uses the GPT-3 language model to understand and respond to natural language input.
ChatGPT is designed to be able to engage in conversation with users and provide answers to their questions.
It can be trained on a specific topic or set of topics in order to improve its ability to provide relevant and accurate information.
The goal of ChatGPT is to create a conversational AI that can understand and respond to human language in a natural and intelligent way.
It is important to note that OpenAI’s ChatGPT is built on top of decades of research.
How many users does ChatGPT have?
Within 1 week of release, ChatGPT has crossed 1 million users. Within 2 months of release, ChatGPT has crossed 100 million monthly active users.
What’s the average cost per chat of ChatGPT?
As of December 2022, the average cost per chat of ChatGPT is probably in the single-digit cents range.
OpenAI is currently working to precisely determine this cost and to identify ways in which it can be optimized.
So, it will go down further in the future.
How much does it cost OpenAI to run ChatGPT for a day?
Based on the back-of-envelope calculation, we estimate it will cost OpenAI around $100K a day to run ChatGPT.
You can see the technical calculation below.
As the cost to run ChatGPT is in the single-digit cents range, we are assuming it will cost 1 cent to run a query. ChatGPT has around 1 million users per day. Assume each of them asks around 10 queries per day.
If we multiply the cost by users and the number of queries, we will get the cost to run ChatGPT as around $100K a day.
Can I use ChatGPT for free?
Yes, you can use ChatGPT for free.
As the costs associated with ChatGPT’s development and operation are significant, it will be necessary for OpenAI to monetize the technology. So they have launched ChatGPT Plus.
The new subscription plan, ChatGPT Plus, will be available for $20/month, and subscribers will receive a number of benefits:
- General access to ChatGPT, even during peak times
- Faster response times
- Priority access to new features and improvements
Will ChatGPT replace Google?
It is too early and difficult to say at this point.
Google does 8.5 billion searches a day. If we assume it cost ChatGPT just 1 cent to run a query, that is USD 85 million per day.
So, ChatGPT needs to have a strong monetization plan. Their monetization strategy along with future advancement in AI determines whether they can replace Google or not.
Is OpenAI making money off ChatGPT API?
It is difficult to say with 100% confidence as only limited information is available in public about their profitability. But we can take a wild guess about their profitability based on the available information.
We will look at profitability based on their Infrastructure cost and estimated revenue.
- Float16 ops/token (GPT-3) = 2x175B = 350B
- A100 FLOPS (F16) (25% util) = 156T/s
- Tokens/s = 156T/350B = 446
- Tokens/hr = 1.6M
- Revenue/hr = $2/Mx1.6M = $3.2/hr
- A100 Cost = $1.5/hr
Based on the rough calculation, OpenAI is making >$2.1 for every $1 in infra cost. So, OpenAI might be making a profit.
However, the total costs (platform, training, RLHF, labelling, web crawling, idle resources, HA, monitoring, S3, talent etc.) are much more and complex.
- Assumed no other optimizations.
- Inference efficiency may be < 50% peak.
- Hardware cost may be further subsidized by Microsoft (I used $12/hr for 8 A100 80GB from LambdaLabs). Even with no MSFT discount, >11.7% efficiency on public cloud hardware is unit profitable!
Who is the real winner in OpenAI?
The real AI winner in OpenAI is Microsoft.
- $1bn in OpenAI (2019)
- Owns GitHub which released Copilot
- Dalle powers Bing Image Creator
- Valle which produces an AI voice from 3s of input
- GPT in Word, PowerPoint, Outlook, etc
- GPT-powered Bing
- $10bn, 49% stake in OpenAI + 75% profit
In the past 5 years, more than 30 OpenAI employees have left the company to start their own ventures. They are known as the OpenAI Mafia.
OpenAI has a startup fund of $100M through which they invest in Startups.
OpenAI is in talks to sell existing shares in a tender offer that would value the company at around $29 billion.
The new deal would roughly double OpenAI’s valuation from a prior tender offer completed in 2021, when OpenAI was valued at about $14 billion.
How much is OpenAI’s Revenue and Profit?
OpenAI lost $540M in 2022 and generated just $28M in revenue. Most of it was spent on developing ChatGPT.
OpenAI actually expects to generate more than $200M in revenue this year (thanks to ChatGPT’s explosive popularity), but its expenses are going to increase incredibly steeply.
In addition to it, companies like Reddit, StackOverflow, and more are implementing new policies to make OpenAI pay for access to data. This will further increase its cost.
Which countries have banned ChatGPT?
Italy had banned OpenAI earlier citing privacy concerns. Now, it is back in Italy.
However, regulators in several countries are investigating how AI tools collect info, citing concerns such as unlicensed training data & misinformation.
How is OpenAI’s ChatGPT compared to Microsoft’s Bing chatbot and Google’s Bard?
Google Trends shows that ChatGPT has only grown in popularity as Bing and Bard search interest has flatlined.
From a relative search interest perspective, ChatGPT is 8.3 times more popular than Microsoft Bing and 33 times more popular than Google’s Bard.
Based on our calculation in the guide, it will cost OpenAI USD 100k to run ChatGPT for a day. So, it will cost OpenAI around USD 3 million a month to run ChatGPT.
No. Elon Must doesn’t own OpenAI now.
As AI technology continues to advance and become more widely adopted, OpenAI will likely play a key role in driving further innovation and progress in the field.
This could involve the development of new and improved AI technologies, as well as partnerships and collaborations with other companies and organizations.
Overall, the future of OpenAI is likely to be filled with exciting possibilities and opportunities.
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Jasper Reed is the founder of heyhowtodoit.com with 8+ years of expertise in crafting tech troubleshooting guides. He has researched, tested, and written hundreds of articles ranging from social media platforms to messaging apps.
Jasper’s “How-to” guides are often referenced by experts on platforms such as JustAnswer to help answer user’s tech queries. His articles are quoted and referenced by major publications and media companies like WikiHow, Think Impact, Enterprise Apps Today, and many others.
An avid traveler and tech enthusiast, Jasper loves to explore new places and experience different cultures.