[AlanYx]

I'm skeptical of this analysis simply because it doesn't appear to include any revenue from the Microsoft deal. Many corporate customers are using the Azure ChatGPT service rather than OpenAI's API directly. There has to be some accounting for that.

[enragedcacti]

From my understanding the $1 billion referred to as "API" revenue is inclusive of revenue from licensing the model to Microsoft [1]. This adds up given that subscription revenue will be $2.7 billion and total revenue will be $3.7 billion. Bloomberg reported that Azure usage will generate $200 million this year. [2]

[1] "[...] with $1 billion coming from other businesses using its technology." https://www.nytimes.com/2024/09/27/technology/openai-chatgpt...

[2] https://www.bloomberg.com/news/articles/2024-06-12/openai-do...

[tomp]

What makes you think OpenAI makes any money on people using Microsoft's technology (i.e. Microsoft owns all OpenAI IP up to AGI) running on Microsoft's servers in Microsoft's cloud?

[AlanYx]

I'd be astonished if Sama didn't negotiate royalties. Microsoft is even using OpenAI's trademarks for the service.

[throwaway314155]

What revenue from the Microsoft deal?