OpenAI reportedly told investors that it plans to charge $22 per month to use ChatGPT by the end of the year. The company also plans to aggressively increase monthly fees by up to $44 over the next five years.
OpenAI generated $300 million in revenue in August and expects to have $3.7 billion in sales by the end of the year, according to documents obtained by The New York Times. The company is expected to lose $5 billion this year due to a variety of expenses, including salaries, rent and operating costs.
OpenAI is reportedly distributing the document, reported by the NYT, as part of an effort to find new investors to prevent or alleviate a funding shortfall. Fortunately, OpenAI has raised funding at a $150 billion valuation and could raise up to $7 billion in a new investment round.
OpenAI is also reportedly in the process of converting from a nonprofit to a for-profit company. This business model removes caps on investor returns, giving new investors more room to negotiate higher interest rates.
