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Without knowing the profit margin of OpenAI it’s anyone’s guess. Personally I’d be surprised if it’s profitable, azure subsidies aside

sebzim4500 4y ago
Who said anything about making a profit? If Google could make Bard work as well as GPT-4 they would do it, even if it had to operate at a significant loss to start.
- endisneigh 4y ago
  If it doesn’t make a profit there’s no incentive to do it.
  - mimd 4y ago
    It's a stunt now for both companies as it's a proxy for both search, AI capabilities for sale, and clouds. But eventually they will reach a limit of payoff. But 4 months is short for product development, especially as it sounds like google was caught off guard by the public interest in interacting with chatgpt.
polycaster 4y ago
According to Reuters [1] in 2022 they projected $200 million revenue in 2023 and $1 billion revenue in 2024. In 2019 they Planned to spend the then 1 bn funding within the next 5 years or so. So I suppose they’re not far away from net zero at least. [1]: https://www.reuters.com/business/chatgpt-owner-openai-projects-1-billion-revenue-by-2024-sources-2022-12-15/ https://www.reuters.com/business/chatgpt-owner-openai-projec...
- polycaster 4y ago
  Also, recently sama indicated chatgpt would make a little money (since the context of this statement is how the hell it could be profitable I assume he talked about profit). https://news.ycombinator.com/item?id=34992606 https://news.ycombinator.com/item?id=34992606
  - mimd 4y ago
    It will be interesting to see how their sales progress after the initial hype period. Some of their contracts to incorporate gpt into products sounded like initial marketing and hype, but perhaps even independent of those, they will make it back with services to bing. But the subdued reaction to gpt4's increase in capabilities means their might be a lack of incentive to pay for improved versions.

sebzim4500 4y ago

Who said anything about making a profit? If Google could make Bard work as well as GPT-4 they would do it, even if it had to operate at a significant loss to start.

endisneigh 4y ago
If it doesn’t make a profit there’s no incentive to do it.
- mimd 4y ago
  It's a stunt now for both companies as it's a proxy for both search, AI capabilities for sale, and clouds. But eventually they will reach a limit of payoff. But 4 months is short for product development, especially as it sounds like google was caught off guard by the public interest in interacting with chatgpt.

polycaster 4y ago

According to Reuters [1] in 2022 they projected $200 million revenue in 2023 and $1 billion revenue in 2024. In 2019 they Planned to spend the then 1 bn funding within the next 5 years or so. So I suppose they’re not far away from net zero at least. [1]: https://www.reuters.com/business/chatgpt-owner-openai-projects-1-billion-revenue-by-2024-sources-2022-12-15/ https://www.reuters.com/business/chatgpt-owner-openai-projec...

polycaster 4y ago
Also, recently sama indicated chatgpt would make a little money (since the context of this statement is how the hell it could be profitable I assume he talked about profit). https://news.ycombinator.com/item?id=34992606 https://news.ycombinator.com/item?id=34992606
- mimd 4y ago
  It will be interesting to see how their sales progress after the initial hype period. Some of their contracts to incorporate gpt into products sounded like initial marketing and hype, but perhaps even independent of those, they will make it back with services to bing. But the subdued reaction to gpt4's increase in capabilities means their might be a lack of incentive to pay for improved versions.