OpenAI Considers $2,000 Monthly LLM Subscriptions
Executives at OpenAI are reportedly contemplating subscription prices as high as $2,000 per month for the company's forthcoming large language models (LLMs) such as Strawberry and Orion. The discussion around increased pricing was revealed in early internal discussions concerning these LLMs, as per a report by Reuters, which cited a paywalled article from The Information based on an unnamed source.
Current Offerings
Presently, OpenAI's ChatGPT Plus is priced at $20 per month, with a free tier that attracts hundreds of millions of users, according to the report. It was mentioned in the report from Aug. 27 that OpenAI is gearing up to introduce Strawberry, its next-generation artificial intelligence (AI) product, during the fall season. Strawberry is expected to tackle challenges and tasks that are currently beyond the reach of existing AI models. It will possess the ability to solve novel math problems, engage in high-level tasks such as devising market strategies, deciphering complex word puzzles, and conducting in-depth research.
Corporate Strategy
Reports suggest that OpenAI is contemplating a reevaluation of its corporate structure to streamline it and make it more appealing to potential investors. At present, the company allocates equity to investors through its for-profit entity, which is overseen by its non-profit board. The non-profit board's primary focus is on benefiting humanity rather than OpenAI investors. Responding to queries regarding the potential corporate restructuring, OpenAI stated, "We remain committed to developing AI that benefits all and are collaborating with our board to ensure optimal positioning for accomplishing our mission. The non-profit element is fundamental to our mission and will persist."
Financial Outlook
OpenAI is reportedly seeking to secure "several billion dollars" in an upcoming funding round, aiming for a valuation exceeding $100 billion. Back in 2023, the company was valued at $86 billion when employees divested their shares. Despite stiff competition in the AI sector, OpenAI's ChatGPT continues to lead the market, attracting hundreds of millions of users each month.
Potential participants in OpenAI’s anticipated funding round reportedly include tech giants like Apple, Nvidia, Microsoft, and investment firm Thrive Capital, which is rumored to be spearheading the round.
