What you need to know
- OpenAI is reportedly deliberating on increasing the price of its subscription-based services, up to $2,000 per month.
- The ChatGPT maker recently surpassed 1 million paid business users amid claims that it’s on the cusp of bankruptcy.
- OpenAI will reportedly receive another round of funding from Microsoft, NVIDIA, and Apple to remain afloat, pushing its market cap to over $100 billion.
As an analyst with over two decades of experience in the tech industry, I’ve seen my fair share of surprises and twists. The recent news about OpenAI’s potential subscription price hike to $2,000 per month is one such surprise that has left me somewhat bewildered.
It has been reported that OpenAI is considering raising the subscription fee for its AI chatbots like ChatGPT Plus. Presently, this service costs $20 per month, offering users early access to new features, custom GPTs, advanced DALL-E 3 image generation technology, and other benefits.
Based on a report by The Information, the cost for using OpenAI’s services might go up to a maximum of $2,000 per month. The reasons behind this possible price increase are still unknown. It remains undetermined if these pricing adjustments will affect the ChatGPT Plus service or only apply to new and advanced models such as Strawberry.
As a researcher involved in the project, I’m excited about our latest endeavor, code-named Strawberry. Although specifics are still scarce, this AI model is expected to boast advanced reasoning abilities. This enhancement will empower Strawberry to tackle intricate tasks with greater efficiency and precision.
Reports indicate that OpenAI is utilizing a novel approach called post-training to enhance existing Language Learning Models (LLMs). This method enables models to adapt and improve their performance and abilities beyond the training period. This could be based on evaluations such as human feedback or rating the quality of its responses to questions.
The announcement of OpenAI possibly increasing its subscription fees follows their achievement of a significant milestone: exceeding 1 million paying business users (as reported by Reuters). Users on social media have reacted with a range of emotions, some expressing concern that the price hike could equate to additional income for certain employees. On Reddit, one user summed it up by saying, “The increase in price would only be justifiable if it was indeed advanced Artificial General Intelligence.
Over the past week, ChatGPT has reached over 200 million daily active users, largely due to the launch of GPT-4. This launch not only boosted ChatGPT’s income and download numbers to record highs but also solidified its position on mobile devices as competitors like Microsoft, Google, and Anthropic strive to catch up.
AI is an expensive venture digging deeper into investors’ pockets
As an analyst, it’s clear that the buzz surrounding generative AI has reached the highest echelons of tech innovation. Companies like Microsoft, NVIDIA, and even Apple have been vying for top position as the world’s most valuable company over the past few months. The reason? These companies have swiftly embraced and incorporated this technology into their offerings. While Apple is a relative newcomer to this space with Apple Intelligence, it’s the early adoption and integration of AI that has fueled their success in the market.
Interestingly, while OpenAI is widely recognized as a leader in AI technology, financial forecasts suggest that it might be on the brink of bankruptcy within a year, potentially facing losses totaling around $5 billion. Yet, it’s been reported that Microsoft, NVIDIA, and Apple are planning to provide additional funding to OpenAI, which could help prevent bankruptcy and elevate its market value to an estimated $100 billion.
It’s worth noting that the daily operation of ChatGPT by OpenAI can cost up to $700,000, and this figure doesn’t account for its substantial energy and water consumption needs, such as cooling systems. To put this into perspective, companies like Google and Microsoft use more electricity than entire countries numbering over 100.
Critics are currently questioning Microsoft’s high investments in AI initiatives that appear not to be generating profits. This criticism comes at a time when there are reports suggesting that AI has reached its peak and is just a passing trend, with predictions that as many as 30% of AI projects could be abandoned by 2025 once proof of concept has been demonstrated.
Read More
- DOP PREDICTION. DOP cryptocurrency
- JASMY PREDICTION. JASMY cryptocurrency
- Doctor Who TV movie writer to return for new Paul McGann story
- The release date for the upcoming remasters of two classic JRPGs from the 1990s has been revealed
- PSA: Star Wars Outlaws doesn’t work on Steam Deck (yet), but it’s great on ROG Ally and Legion Go
- Trump NFT ‘The America First Collection’ passes CryptoPunks in sales, but…
- LDO PREDICTION. LDO cryptocurrency
- DGB PREDICTION. DGB cryptocurrency
- MDT PREDICTION. MDT cryptocurrency
- Marvel vs. Capcom Fighting Collection: Arcade Classics Release Date Revealed
2024-09-06 20:39