Launched two years ago, ChatGPT now exceeds 300 million active users per week. OpenAI, its creator, would already generate billions of dollars in annual revenue. And it is also one of the most valuable unlisted organizations in the world. Indeed, following a fundraising of $6.6 billion, announced in October, the valuation of OpenAI rose to $157 billion.
But, despite the success of its technologies, OpenAI still would not make a profit. This is why it must continue to raise funds to be able to develop new AI models, and to make existing products work. Indeed, if generative artificial intelligence has the potential to change the world, it also requires significant computing resources and a lot of energy.
And while the latest fundraising of $6.6 billion is still quite recent, OpenAI is reportedly already thinking about a new way to raise funds. According to an article in the Financial Times, to ensure future fundraising, OpenAI could waive a clause in the agreements between the organization and its partners.
OpenAI would like to remove the AGI clause
OpenAI’s ultimate goal is to develop AGI or artificial general intelligence, which it defines in these terms: “a highly autonomous system that outperforms humans in most economically profitable tasks”. It is the OpenAI board of directors who must determine whether this objective is achieved. And, unlike the AI models currently offered by OpenAI, AGI is not included in the organization’s licensing agreements or commercial agreements between the creator of ChatGPT and Microsoft. This explains, on the page presenting its structure, that these commercial agreements only concern “pre-AGI” technologies.
The problem is that this clause which prevents OpenAI’s partners from benefiting from its future artificial general intelligence would prevent it from raising more funds. On the other hand, if this clause disappeared, it could attract even more investments. According to the Financial Times, OpenAI is currently discussing the new terms with its investors.
OpenAI: an atypical structure
In any case, an overhaul (mentioned by certain media) of the structure of OpenAI is unlikely. “While our work continues and we continue to consult with independent financial and legal advisors, any potential restructuring would ensure that the nonprofit organization continues to exist and thrive, and that it receives the full value of its current participation in the for-profit organization OpenAI, with increased ability to continue its mission”Bret Taylor, chairman of the board of directors of OpenAI, previously said, according to the Financial Times.
As a reminder, the creator of ChatGPT is made up of a non-profit entity, which makes the decisions, and a for-profit entity which is able to raise funds. Additionally, financial returns for investors and employees are capped. This cap was put in place to encourage research and the pursuit of the ultimate objective (developing an AGI), instead of prioritizing commercial interests.
- OpenAI’s ultimate goal is to develop AGI or artificial general intelligence
- When this goal is achieved, AGI will not be included in OpenAI’s licensing agreements or its commercial agreements with Microsoft
- But according to the Financial Times, OpenAI could break this rule to attract more investments
- Today, the creator of ChatGPT is not yet profitable, even if the chatbot already exceeds 300 million users per week
