OpenAI is expected to record losses of up to US$14 billion by 2026; to understand

OpenAI is expected to record losses of up to US$14 billion by 2026, the website said. Information. Predictions predict the company is run by Sam Altman will continue without making a profit until at least 2029.

To: losses may be a result of higher investment in expanding operations. OpenAI aims to meet ever-increasing demands (increasingly more demanding) for its generative models, and this involves very high operational costs.

OpenAI is estimated to record losses of up to $5 billion in 2024 and $14 billion in 2026.

Right now, OpenAI is still set up as a non-profit company It is supported by subscriptions, enterprise customers and partnerships with tech giants like Microsoft.

But the company is on track to go public and respond directly to shareholders and investors, just like a traditional company. However, the transformation takes time to complete.

Loss is normal

Although the numbers seem alarming It is common for large companies to operate in the red for a significant period of time.. Uber is an example of a company that has spent most of its existence with negative annual results.

What’s more, OpenAI continues to attract investor attention: The company raised $6.6 billion in another investment round at the beginning of October, taking its valuation to $157 billion.

If the use and popularity of generative models continues to increase, Simpler way for OpenAI to balance funding. But only time will tell whether the tools will continue to be as useful and important as they are today, or whether they will slowly become obsolete.