Creating state-of-the-art language models is no walk in the park, nor is it a penny-pinching endeavour.
The astonishing costs involved in developing such AI marvels have remained somewhat shrouded in mystery. However, thanks to a recent report from The Information, we now have a glimpse into the staggering expenses behind OpenAI's ChatGPT, which racked up a $540 million loss last year.
But don't let these figures dampen your spirits; revenues are surging toward hundreds of millions annually, even though expenses are skyrocketing in tandem. The report suggests that OpenAI CEO Sam Altman has ambitious plans to raise a jaw-dropping $100 billion in the coming years, with the goal of developing self-improving artificial intelligence. Moreover, OpenAI has a voracious appetite for new and diverse data sets, some of which remain elusive on the internet.
Considering OpenAI's lavish spending on AI development, one can't help but wonder if other AI contenders can keep up with this trailblazer.
Delving deeper into the financial intricacies of ChatGPT and OpenAI's operations, the company had initially planned to invest up to $75 million in Google Cloud services back in 2020. However, Microsoft's Azure platform seduced them away, proving to be a more alluring partner for their future endeavours.
OpenAI Reportedly Lost $540 Million Developing ChatGPT in 2022 Language models don’t come cheap, if the chatbot’s costs are any indication
https://www.thewrap.com/open-ai-lost-half-billion-making-chatgpt-cost/