According to a report from The New York Times, OpenAI plans to gradually increase the price of ChatGPT+ over the next five years. This information was revealed through internal documents shared with potential investors.
ChatGPT+ Pricing Changes
Currently, ChatGPT Plus is available for $20 per month, providing access to higher-end models, reduced limitations, and use of DALL-E, OpenAI's image generation tool. However, this is set to change soon.
According to the documents, ChatGPT Plus will increase to $22 per month by the end of the year, and eventually reach $44 per month over the next five years. OpenAI currently has 10 million ChatGPT Plus subscribers.
Apple is expected to integrate ChatGPT with Siri in iOS 18.2. While these features won't require an OpenAI account or a ChatGPT Plus subscription, users will be able to sign in for additional capabilities directly within iOS.
OpenAI Valuation
The information regarding pricing changes comes from documents sent to investors, as OpenAI is attempting to raise up to $7 billion, valuing the company at $150 billion. Initially, Apple was rumored to be part of this funding round but reportedly withdrew from discussions.
This new valuation of $150 billion is a significant jump from a year ago, when OpenAI was valued at just $30 billion around the time Microsoft started investing.
OpenAI's Financial Pictur
As of August, OpenAI's monthly revenue reached $300 million, and the company expects to earn $3.7 billion this year. Despite this, OpenAI is planning to lose $5 billion this year due to high expenses—building AI technology is costly, and OpenAI will likely continue raising funds to sustain its efforts.
Of their $3.7 billion in annual revenue, $2.7 billion comes from ChatGPT subscriptions, while the remaining $1 billion comes from technology companies using their APIs to implement AI features.
OpenAI also projects that their revenue will triple next year, reaching $11.6 billion. By 2029, when ChatGPT+ is expected to reach a price of $44 per month, the company anticipates their revenue will hit $100 billion.
Sam Altman to Receive Equity Stake
Sam Altman, CEO of OpenAI, is expected to receive 7% equity in OpenAI, valued at $10.5 billion, if reports are accurate. This comes after considerable internal drama at OpenAI.
Last November, Sam Altman was fired by the board for a lack of transparency in his communications. In response, numerous OpenAI employees protested in support of him, and he was eventually reinstated following some board reshuffling. However, over the past nine months, several senior employees have left OpenAI, including CTO Mira Murati, Chief Scientist Ilya Sutskever, and others.
The future of OpenAI remains uncertain, and these recent departures raise concerns about the company's stability moving forward.
