The American software company OpenAI expects turnover to increase from an estimated $3.7 billion in 2024 to $11.6 billion (10.40 billion euros) in 2025, several people familiar with the matter reported on Friday.
Losses are expected to reach $5 billion this year, largely depending on spending on computing power, which could change, one of the insiders added.
$150 billion valuation conceivable
The current funding round, which comes in the form of convertible notes, is expected to close late next week and could value OpenAI at $150 billion, cementing OpenAI’s status as one of the most valuable private companies in the world.
Thrive Capital, which also led OpenAI’s previous funding round, is offering $1.2 billion from a combination of its own fund and a dedicated fund for smaller investors. Other investors in the new round include Microsoft, Apple, Nvidia and Khosla Ventures. Because Thrive Capital is investing more than $1 billion, it will be the only investor with the opportunity to invest another $1 billion at the same valuation next year if the AI company hits a certain revenue target, the insiders said. Reuters was unable to determine Thrive’s revenue target related to the option.
OpenAI’s flagship product, ChatGPT, is expected to gross $2.7 billion this year, up from $700 million in 2023. The chatbot service, which charges a monthly fee of $20, has about ten million paying users. Thrive and OpenAI declined to comment. Financials and details about Thrive’s additional option were first reported by The New York Times on Friday.
Source: Krone
I’m Ben Stock, a journalist and author at Today Times Live. I specialize in economic news and have been working in the news industry for over five years. My experience spans from local journalism to international business reporting. In my career I’ve had the opportunity to interview some of the world’s leading economists and financial experts, giving me an insight into global trends that is unique among journalists.
