Sam Altman claimed that OpenAI Pro plan users are using the tool so much that the company is losing money. The notable thing is that ChatGPT Pro is the costliest program of OpenAI.
ChatGPT Pro subscription costs $200 per month, and users get unlimited access to ChatGPT and the Sora video generator.
ChatGPT Pro Plan and OpenAI lose:
ChatGPT first launched in November 2022 and revolutionized the generative AI technology.
It started as a free service, but later, the company launched a $20/month premium subscription for users.
But many are not satisfied with the $20 plan.
The company has launched the ChatGPT Pro plan with a subscription cost of $200/month.
With this plan, users get unlimited access to OpenAI o1, GPT-4o, Advanced Voice, and the Sora AI video generator.
The user has also started using ChatGPT as a search engine. The company's SearchGPT is the tool helping users.
All these tools and features are adding extra costs to computation power and electricity.
How much is OpenAI losing?
According to the New York Times, in an OpenAI-ChatGPT investor funding article, the company lost $5 billion in 2024.
How is OpenAI losing money?
According to Sam Altman, ChatGPT pro users are using the available tools and features more than the price they are paying.
As there is no limit on ChatGPT use in the ChatGPT Pro plan, users are doing everything with it.
It has increased the computing power cost, which is more than the revenue of the company.
The data centres and electricity consumption are higher, and OpenAI must bear it because of the unlimited ChatGPT Pro plan.
What is the significance of this?
Sam Altman's revelation of OpenAI's losses also suggests that the company has plans to either increase the cost of the Pro plan or launch separate plans for different features.
OpenAI may launch a separate subscription plan for the Sora AI video generator.
Conclusion:
The ChatGPT Pro plan is not a failure of the company's strategies. Still, it explains the user's interest in OpenAI tools and features.
The increased computation cost will make OpenAI raise the subscription cost of its basic and Pro plans.
Investors also want to make OpenAI profitable and to do so; they need to find ways to make the company profitable.
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