OpenAI Achieves $10 Billion in Annual Revenue Yet Reports $5 Billion Loss

OpenAI has achieved over $10 billion in annual recurring revenue (ARR), driven primarily by the popularity of its ChatGPT chatbot and related products. This milestone was reached less than three years after the chatbot’s launch in November 2022. The ARR includes revenue from both consumer and enterprise offerings, as well as API services, but likely underestimates total income by not accounting for Microsoft licensing fees and one-time deals. Despite this revenue surge—up from $5.5 billion in 2024—OpenAI faces significant profitability challenges, reporting a loss of about $5 billion due to the capital-intensive nature of AI development. The company raised $40 billion in funding earlier this year and has a valuation approximately 30 times its current revenue. Looking ahead, OpenAI aims for $125 billion in revenue by 2029 and has reported 500 million weekly active users and 3 million paying business customers as of March 2025.

Source link