{"id":644622,"date":"2024-09-29T00:00:00","date_gmt":"2024-09-29T00:00:00","guid":{"rendered":"https:\/\/enterpriseam.com\/egypt\/2024\/09\/29\/openai-sees-usd-5-bn-in-losses-despite-soaring-revenue\/"},"modified":"2024-09-29T00:00:00","modified_gmt":"2024-09-29T00:00:00","slug":"openai-sees-usd-5-bn-in-losses-despite-soaring-revenue","status":"publish","type":"post","link":"https:\/\/enterpriseam.com\/egypt\/2024\/09\/29\/openai-sees-usd-5-bn-in-losses-despite-soaring-revenue\/","title":{"rendered":"OpenAI sees USD 5 bn in losses despite soaring revenue"},"content":{"rendered":"

Despite a USD 5 bn expected loss in 2024, OpenAI is expected to see booming revenue <\/strong>growth in the coming five years,<\/strong> Fortune<\/a> reports based on changes in OpenAI\u2019s future company and revenue structure.<\/p>\n

(Tap or click the headline above to read this story with all of t<\/strong>he links <\/strong>to external sources.)<\/p>\n

Burning through the green bills: <\/strong>The AI company\u2019s massive loss is largely due to the computing costs paid to their top investor and partner, Microsoft, and partly due to the cost of running the service, which needs an amount of electricity that is detrimental to their bottom line as well as the environment<\/a>.<\/p>\n

Their 2024 revenue is expected to hit USD 3.7 bn, but is set to at least triple to USD 11.6 <\/strong>bn by 2025,<\/strong> according to a document referenced in The New York Times<\/a>. The expected revenue increases will come at the expense of ChatGPT users, who will see price hikes from USD 20 to USD 22 per month by year\u2019s end, with fees set to climb to USD 44 over the next five years.<\/p>\n

They are banking on consumer fascination with ChatGPT to remain strong<\/strong>, especially as the company is in midst of a USD 7 bn fundraising round that could value the company at over USD 150 bn. Companies in talks for this round include Microsoft, Nvidia, VC firms Thrive Capital and Tiger Global Management, and UAE-backed MGX. The round is expected to close in the coming week. Apple was initially involved in discussions but has since pulled out<\/a>.<\/p>\n

\n

\n

Standard password rules could soon be a thing of the past.<\/strong> The National Institute of Standards and Technology (NIST) is pushing to overhaul standard password practices by proposing new guidelines that could finally put an end to rules like requiring special characters and frequent resets, the Washington Post<\/a> writes. <\/p>\n

Why? <\/strong>These practices do more harm than good, says the US agency \u2014 complex passwords are harder to remember and more likely to be written down or stored unsafely.<\/p>\n

You\u2019ll be able to use spaces\u2026 Only because NIST is calling for longer, but more <\/strong>memorable passwords,<\/strong> which are harder for hackers to guess. The agency also recommends allowing unicode characters in passwords to offer more flexibility, as well as passkey support, which uses biometric data such as facial recognition or fingerprints for authentication.<\/p>\n","protected":false},"excerpt":{"rendered":"

The company expects revenue to reach USD 11.6 bn by 2025<\/p>\n","protected":false},"author":1,"featured_media":644623,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"newspack_ads_suppress_ads":false,"newspack_popups_has_disabled_popups":false,"newspack_sponsor_sponsorship_scope":"","newspack_sponsor_native_byline_display":"inherit","newspack_sponsor_native_category_display":"inherit","newspack_sponsor_underwriter_style":"inherit","newspack_sponsor_underwriter_placement":"inherit","ep_exclude_from_search":false,"_primary_brand":0,"newspack_featured_image_position":"","newspack_post_subtitle":"","newspack_article_summary_title":"Overview:","newspack_article_summary":"","newspack_hide_updated_date":false,"newspack_show_updated_date":false,"_jetpack_memberships_contains_paid_content":false,"footnotes":""},"categories":[7215],"tags":[633,638,8370],"brand":[],"newspack_spnsrs_tax":[],"class_list":["post-644622","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-for-your-commute","tag-enterprisepm","tag-for-your-commute","tag-openai","wpautop","entry"],"acf":{"mongo_id":"e58c5d34-a032-4093-9b31-56bbf2dec375","order":"3","is_powered_by":false,"story_type":"1","photo_url":"https:\/\/ent.news\/2024\/2\/1655.jpg","photo_position":"below","homepage_title":"","full_issue_title":"","related_issue":[644617],"teaser":"The company expects revenue to reach USD 11.6 bn by 2025","voice_url":"https:\/\/s3.us-east-1.amazonaws.com\/ent.news\/audio\/2024\/9\/.5fbd0a23-bdaa-46e7-b4ba-e24728c0d5aa.mp3"},"yoast_head":"\nOpenAI sees USD 5 bn in losses despite soaring revenue - EnterpriseAM Egypt<\/title>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/enterpriseam.com\/egypt\/2024\/09\/29\/openai-sees-usd-5-bn-in-losses-despite-soaring-revenue\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"OpenAI sees USD 5 bn in losses despite soaring revenue\" \/>\n<meta property=\"og:description\" content=\"The company expects revenue to reach USD 11.6 bn by 2025\" \/>\n<meta property=\"og:url\" content=\"https:\/\/enterpriseam.com\/egypt\/2024\/09\/29\/openai-sees-usd-5-bn-in-losses-despite-soaring-revenue\/\" 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