OpenAI is a non-profit research company that aims to develop and direct artificial intelligence (AI) in ways that benefit humanity as a whole.
The company was founded by Elon Musk and Sam Altman in 2015 and is headquartered in San Francisco, California.
OpenAI uses 28 technology products and services including HTML5, jQuery, and Google Analytics, according to G2 Stack.
Source: Tech Target, Crunchbase, Stack G2, The Information
About OpenAI Company Overview
| Key Stats | Key Info |
|---|---|
| Launch Date | December 11, 2015 |
| Head Quarter | Pioneer Building, San Francisco, California, US |
| Founder(s) | Sam Altman, Peter Thiel, Ilya Sutskever, Jessica Livingston, Reid Hoffman, and Elon Musk (rtd). |
| OpenAI Products | ChatGPT, GPT, GPT API, Dactyl, OpenAI Gym, Codex(GitHub Copilot), CLIP, OpenAI API and OpenAI Scholars |
| OpenAI Industry | Artificial intelligence |
| Business Type | AI research and deployment company |
| OpenAI Valuation | USD 29 Billion (2023) |
| OpenAI Total Funding | USD 11.3 Billion |
| Number of Employees | 1300+ Employees (2023) |
| OpenAI Daily Active Users | 400k DAU |
| Official Website | http://openai.com |
Source: OpenAI, LinkedIn, The Information
Some Amazing Facts About OpenAI
- Microsoft has invested a total of $11 billion in Open AI. $1 billion in 2019 and $10 in 2023
- ChatGPT has over 180.5 million users and generates $80 million in revenue per month.
- ChatGPT is the fastest-growing consumer app in history, reaching 100 million users in just 5 days.
- OpenAI is valued at $29 billion and is seeking a new valuation up to $90 billion due to higher revenues from ChatGPT.
- In December 2015, Elon Musk, Sam Altman, and other investors announced the formation of OpenAI and pledged over US$1 billion to the venture
- The OpenAI Startup Fund revealed that it led a $23.5 million investment in Mem
- In September 2020, Microsoft purchased an exclusive license to immediately incorporate GPT-3 into its own products.
- Microsoft became the sole and exclusive cloud provider of OpenAI products in 2019 thanks to a $1 billion investment in OpenAI.
- OpenAI Codex is most capable in Python, but it is also proficient in over a dozen languages including JavaScript, Go, Perl, PHP, Ruby, Swift and TypeScript, and even Shell.
- OpenAI Codex is now available to the public through the OpenAI API.
- OpenAI’s researchers showed that with enough parameters and training data, a single deep learning model could perform several tasks without the need for retraining
- ChatGPT is trained on GPT-4, which has 175 billion parameters and receives 10 million queries per day.
Source: Analytics India Mag, BNN Bloomberg, Glassdoor, The Verge, OpenAI
OpenAI Valuation
OpenAI’s valuation is projected to surpass $80 billion by the end of 2023, with a steady increase in valuation over the years: reaching USD 29 billion in 2023, USD 20 billion in 2022, and USD 260 million in 2021.
| Year | OpenAI Valuation |
|---|---|
| 2023 | USD 29 Billion |
| 2022 | USD 20 Billion |
| 2021 | USD 260 Million |
Source: The Information, Techcrunch, Sacra
OpenAI Revenue
OpenAI’s revenue has experienced steady growth over the years, from $13.81 million in 2016 to $1.3 billion in 2023.
| Year | Revenue |
|---|---|
| 2023 | $1.3 billion |
| 2022 | $200 million |
| 2021 | $34 million |
| 2020 | $3.48 million |
| 2019 | $31. 93 million |
| 2018 | $49.97 million |
| 2017 | $33.23 million |
| 2016 | $13.81 million |
Source: ProPublica, Sacra
OpenAI Profit
OpenAI’s profit varied over the years, with a loss of -$9.5 million in 2020 and a profit of $28.6 million in 2019. In 2018, they incurred a loss of -$1.6 million, while 2017 saw a profit of $4.6 million and 2016 brought in $2.6 million in profit.
| Year | Profit |
|---|---|
| 2020 | -$9,508,759 |
| 2019 | $28,599,812 |
| 2018 | -$1,580,378 |
| 2017 | $4,560,437 |
| 2016 | $2,569,398 |
Source: ProPublica
How Does OpenAI Make Money?
| Revenue Stream | Description |
|---|---|
| Licensing | OpenAI licenses its AI technologies to other companies, like Microsoft for GPT-3. |
| API fees | Developers are charged for using OpenAI’s APIs, e.g., Codex API. |
| Subscriptions | OpenAI offers subscription-based products (ChatGPT Plus and OpenAI Playground Plus) with added features. |
| Grants and donations | Funding from research grants and donations supports OpenAI. |
Open AI Funding, Investors, Investments and Acquisitions
OpenAI Funding History
OpenAI has raised $11.3B in funding through 10 rounds, with the latest funding of an undisclosed amount from a Secondary Market round on Aug 14, 2023. Notable rounds include a $10B Corporate Round in Jan 23, 2023, a $300M Venture Round in Apr 28, 2023, a $250K Seed Round in Nov 28, 2022, and a $3M Series A round in Nov 25, 2022.
| Announced Date | Transaction Name | Money Raised |
|---|---|---|
| Aug 14, 2023 | Secondary Market – OpenAI | — |
| Apr 28, 2023 | Venture Round – OpenAI | $300M |
| Jan 23, 2023 | Corporate Round – OpenAI | $10B |
| Nov 28, 2022 | Seed Round – OpenAI | $250K |
| Nov 25, 2022 | Series A – OpenAI | $3M |
| Jan 1, 2022 | Secondary Market – OpenAI | — |
| Jan 1, 2021 | Secondary Market – OpenAI | — |
| Jul 23, 2019 | Corporate Round – OpenAI | $1B |
| Mar 11, 2019 | Seed Round – OpenAI | — |
| Aug 22, 2016 | Pre Seed Round – OpenAI | $120K |
Source: Crunchbase
Open AI Fund Raised
OpenAI announced the OpenAI Startup Fund on May 26, 2021, raising a total of $100M. This single venture fund contributed to their fundraising efforts.
| Announced Date | Fund Name | Money Raised |
|---|---|---|
| May 26, 2021 | OpenAI Startup Fund | $100M |
Source: Crunchbase
Who are the Top OpenAI Investors?
OpenAI is funded by 17 investors, including Arrowshare Ventures and Thrive Capital as the most recent investors. Popular investors in OpenAI include Microsoft, Y Combinator, and Bedrock Capital.
| Investor Name | Funding Round |
|---|---|
| Arrowshare Ventures | Secondary Market – OpenAI |
| Thrive Capital | Venture Round – OpenAI |
| SVA | Venture Round – OpenAI |
| Andreessen Horowitz | Venture Round – OpenAI |
| Founders Fund | Venture Round – OpenAI |
| Alphabet | Venture Round – OpenAI |
| Wisdom Ventures | Venture Round – OpenAI |
| K2 Global | Venture Round – OpenAI |
| Sequoia Capital | Venture Round – OpenAI |
| Tiger Global Management | Venture Round – OpenAI |
| Bedrock Capital | Venture Round – OpenAI |
| Microsoft | Corporate Round – OpenAI |
| Khosla Ventures | Venture Round – OpenAI |
| Reid Hoffman Foundation | Venture Round – OpenAI |
| Y Combinator | Pre-Seed Round – OpenAI |
Source: Crunchbase
OpenAI Investments History
OpenAI has made 8 investments, with their most recent being a $98K investment in KudoAI on Sep 16, 2023.
| Announced Date | Organization Name | Money Raised |
|---|---|---|
| Sep 16, 2023 | KudoAI | $98K |
| Jul 24, 2023 | Acroo Labs | £2.4M |
| Jul 18, 2023 | American Journalism Project | $5M |
| May 1, 2023 | Oikeus.AI | — |
| May 1, 2023 | Ava | $4.6M |
| Nov 7, 2022 | EdgeDB | $15M |
| Oct 27, 2022 | Descript | $50M |
| Apr 25, 2022 | Ambience Healthcare | $30M |
Source: Crunchbase
Open AI Acquisitions
OpenAI acquired Global Illumination on Aug 16, 2023, for $100M.
| Announced Date | Acquiree Name | Price | Transaction Name |
|---|---|---|---|
| Aug 16, 2023 | Global Illumination | $100M | Global Illumination acquired by OpenAI |
Source: Crunchbase
Open AI Machine Learning Startups Funding
Open AI, the creators of Dall-E and ChatGPT, received over $1 billion in funding in 2022, making them the most funded Machine Learning Operations/Platform startup.
| ML Startups | Open AI Funding |
|---|---|
| OpenAI | $1 billion |
| Scale AI | $602.86 million |
| Anyscale | $259 million |
| Inflection AI | $225 million |
| Weights & Biases | $200 million |
| Cohere.ai | $165 million |
Source: Statista
Leading AI Tools
55% of marketers in the United States use ChatGPT for their marketing purposes, making it a widely-used AI tool in the industry.
| AI Tools | Share of Marketers |
|---|---|
| ChatGPT | 55% |
| Copy,ai | 42% |
| Jasper,ai | 36% |
| Peppertype.ai | 29% |
| Lensa | 28% |
| DALL-E | 25% |
| MidJourney | 24% |
Source: Statista
ChatGPT Monthly Active Users
The MAU of ChatGPT grew from 57 million in 2022 to 100 million by January 2023.
| Year | ChatGPT Monthly Active Users |
|---|---|
| 2023 | 100 million MAU |
| 2022 | 57 million MAU |
Source: Statista
OpenAI Users Demographic Stats
OpenAI Users by Gender
56.11% of openai.com visitors are male, while 43.89% are female.
| OpenAI User Gender | Distribution |
|---|---|
| Male | 56.11% |
| Female | 43.89% |
Source: SimilarWeb
OpenAI Users by Age Group
The majority of openai.com visitors, 33.53%, are between the ages of 25 and 34. This is followed by the age groups 18-24 (27.93%), 35-44 (18.39%), 45-54 (11.22%), 55-64 (5.59%), and finally 64 years or older (3.35%).
| OpenAI User Age Group | Distribution |
|---|---|
| 18 – 24 | 27.93% |
| 25 – 34 | 33.53% |
| 35 – 44 | 18.39% |
| 45 – 54 | 11.22% |
| 55 – 64 | 5.59% |
| 64+ | 3.35% |
Source: SimilarWeb
What country visits openai.com the most?
The United States leads with 14.91% of traffic on openai.com, followed by India (8.13%), Colombia (3.98%), the Philippines (3.62%), and Japan (3.23%). Other countries make up the remaining 66.13%.
| Country | Traffic share |
|---|---|
| United States of America | 14.91% |
| India | 8.13% |
| Colombia | 3.98% |
| Philippines | 3.62% |
| Japan | 3.23% |
| Others | 66.13% |
Source: SimilarWeb
Is OpenAI available worldwide?
OpenAI is currently accessible in 164 countries, which includes the United States, Canada, the United Kingdom, Australia, and Japan.
Source: OpenAI
Countries where OpenAI/ChatGPT isn’t available
OpenAI or ChatGPT is not currently available in the following countries: Sudan, Libya, North Korea, Afghanistan, Yemen, Chad, Syria, South Sudan, Eswatini, Eritrea, China and more.
Source: OpenAI
OpenAI Popularity Among AI Startups
OpenAI’s popularity among AI startups has been steadily increasing, with a significant rise in search numbers. In 2017, there were 50,000 searches, and by 2023, this number reached 1,800,000.
| Year | Number of Search by AI Startups |
|---|---|
| 2023 | 1,800,000 |
| 2022 | 319,000 |
| 2021 | 105,000 |
| 2020 | 102,000 |
| 2019 | 90,000 |
| 2018 | 75,000 |
| 2017 | 50,000 |
Source: Meet Glimpse
How many AI Developers use OpenAI?
- OpenAI DALL-E has more than three million (3,000,000), active developers, using the model to train algorithms.
- OpenAI Debate Game has more than 600 participants in 2022
- OpenAI Gym has more than 923 active developers using the model to train robots.
OpenAI Competitors Analysis
| Organization | Location | Revenue |
|---|---|---|
| Merit Network | Ann Arbor, MI | $28,602,952 |
| National Center for Defense Manufacturing and Machining (NCDMM) | Blairsville, PA | $37,384,642 |
| MXD USA | Chicago, IL | $10,302,345 |
| WiscNet | Madison, WI | $8,451,316 |
| Thirty Meter Telescope International Observatory (TIO) | Pasadena, CA | $35,210,500 |
| California Emerging Technology Fund | Concord, CA | $35,210,093 |
| US Ignite | Washington, DC | $9,852,960 |
| National Institute of Building Sciences | Washington, DC | $16,799,172 |
| Farmers Conservation Alliance | Hood River, OR | $21,617,774 |
| Internet2 | Ann Arbor, MI | $74,976,240 |
Source: CauseIQ
Who founded OpenAI?
OpenAI was founded in 2015 by a group of notable figures including Sam Altman, Peter Thiel, Ilya Sutskever, Jessica Livingston, and Reid Hoffman. Elon Musk was also a co-founder, but he left the company in 2018.
Net Worth of OpenAI Founders
| Founder | Net Worth |
|---|---|
| Sam Altman | $500 million |
| Peter Thiel | $7 Billion |
| Ilya Sutskever | $13 million |
| Jessica Livingston | $100 billion |
| Reid Hoffman | $3 billion |
| Elon Musk | $210 billion |
Source: Celebrity Net Worth, BiographyScoop, Peopleai.com
Key People At OpenAI
| Name | Title |
|---|---|
| Sam Altman | CEO |
| Brad Lightcap | COO |
| Greg Brockman | President, Chairman, and Co-Founder |
| Ilya Sutskever | Co-Founder and Chief Scientist |
| Wojciech Zaremba | Co-Founder |
| Mira Murati | Chief Technology Officer |
| Bob McGrew | VP of Research |
| Peter Welinder | VP of Product and Partnerships |
Source: Craft.co
How many people work at OpenAI?
OpenAI’s employee count has grown from 6 in 2015 to 1372 in 2023, demonstrating significant expansion.
| Year | Number of Employees |
|---|---|
| 2023 | 1372 employees |
| 2022 | 335 employees |
| 2021 | 220 employees |
| 2020 | 120 employees |
| 2019 | 100 employees |
| 2018 | 52 employees |
| 2017 | 45 employees |
| 2016 | 25 employees |
| 2015 | 6 employees |
Source: Crunchbase, Craft, OpenAIPitchbookGrowjo
What is the salary of OpenAI Employees?
OpenAI’s approximate revenue per employee is $947,522. Here are some examples of yearly salaries for roles at OpenAI:
| Open AI Employee Role | Expected Salary |
|---|---|
| Research Manager | $471,915 per year |
| Software Engineer | $286,018 per year |
| Research Scientist | $273,112 per year |
| Full Stack Developer | $273,112 per year |
| Developer | $217,793 per year |
| Human Resources Manager | $160,000 per year |
| Human Resources Generalist | $160,000 per year |
Frequently Asked Questions About OpenAI
What is OpenAI used for?
OpenAI is a non-profit research company that aims to develop and direct artificial intelligence (AI) in ways that benefit humanity as a whole.
Source: Tech Target
How Does OpenAI work?
OpenAI is an Artificial Intelligence (AI) research laboratory and company. They’ve created various AI-powered programs and machine learning algorithms that allow computers to do all sorts of things like creating images from text or making a robot hand that solves Rubik’s Cubes.
source: MOU
What Type of AI Tool does OpenAI offer?
| OpeAI Tool | About | Year of Release |
|---|---|---|
| GPT | A powerful language model for text generation, understanding, and completion. Used in various natural language processing tasks. | 2020 |
| GPT API | An API that allows developers to integrate GPT into their applications, enabling natural language understanding. | 2020 |
| Dactyl | A robotic hand designed for dexterous manipulation and hand-eye coordination in robotics research. | 2018 |
| OpenAI Gym | An open-source platform for developing and comparing reinforcement learning algorithms, offering various environments for training and testing. | 2016 |
| Codex | An AI pair programmer developed in partnership with GitHub, helping developers write and understand code more efficiently. | 2021 |
| CLIP | A model that understands images and text, useful for image classification, object detection, and text-image matching. | 2021 |
| OpenAI API | A platform that provides access to OpenAI’s models and services, including GPT-3 and CLIP, through APIs. | 2020 |
| ChatGPT | An AI model tailored for interactive and chatbot-style conversations, extending the capabilities of GPT for chat-like interactions. | 2021 |
| DALL-E 2 | A model that can generate realistic images and art from a description in natural language. | 2023 |
| Whisper | A speech recognition and translation model that is trained on a large dataset of diverse audio. | 2022 |
| Playground | A web-based tool that allows users to interact with OpenAI’s AI models. | 2020 |
Is OpenAI Free?
OpenAI offers some free products and services, such as the OpenAI Playground and API. It also offers subscription-based products and services, such as ChatGPT Plus and OpenAI Codex Plus.
Is GPT-4 OpenAI open to the Public?
Yes, GPT-4, the latest model in the GPT series, was released by OpenAI on March 14, 2023. It is accessible to the public through OpenAI’s ChatGPT Plus, a paid chatbot service, and via OpenAI’s API.
Is OpenAI a For-Profit Company?
Elon Musk and Sam Altman launched OpenAI as a nonprofit organization for artificial intelligence research; however, Musk eventually left the organization, and it is now officially a for-profit business.
Source: Futurism
Why did Elon Musk leave OpenAI?
Elon Musk decided to leave OpenAI, due to disagreements about the company’s development.
Source: BNN Bloomberg
What are the Top Business Applications Powered by OpenAI GPT?
Basically, GPT-3 powered applications aim to automate the workload for better productivity.
Some of the applications include:
- Algolia – is the best search and discovery platform for a business while empowering Builders to build top-notch experiences. It provides consumers seamless access to product catalogues through this AI model of OpenAI, GPT-3.
- MessageBird – offers an omnichannel communications platform with the integration of a GPT-3 powered tool. It helps to enhance every interaction while optimizing authentications and video meetings for marketing and sales.
- Debuild.co – is one of the top GPT-3 powered apps to help in building website apps efficiently and effectively. It helps to generate SQL code and assemble an interface visually all in one click. It leverages this AI model to create an autonomous system for writing software at the level of the most skilled engineers.
- Tabulate – leverages the AI model known as GPT-3 to combine industry accounting professionals with proprietary technology for delivering the best financial back-office service. It offers bookkeeping, payroll, analytics, accounts payable, tax preparation, and many more.
- CopyAI – is well-known as a GPT-3 powered tool to automate creativity tools and generate marketing copies within a short period of time efficiently. Businesses can use this AI model for digital ad copy, social media content, website copy, eCommerce copy, blog content, and sales copy.
- AI Channel – is one of the top GPT-3 powered apps and a social network platform for allowing collaboration with artificial intelligence agents. It helps companies or individuals to have a conversation with the AI model to understand natural language. The AI Channel app interface is like a messaging application UI including a directory of different conversations.
- Snazzy AI – is known for providing the simplest way to create content with GPT-3. Multiple services include creating landing pages, copywriting, Google Ads, and many more with just three clicks.
- Writesonic – is one of the well-known GPT-3 powered apps to boost the website SEO for generating more traffic. This AI model generates high-quality articles, emails, blogs, landing pages, and many more within a short period of time.
- Grok – is a popular GPT-3 powered tool that utilizes the advanced AI model known as GPT-3 to summarize the on-demand and daily digest of subscribed channels. It can summarize the last 30 messages in any Slack channel with the Grok Conversation Summary.
- Otherside AI – offers HyperWrite which is one of the top GPT-3 powered applications as the most powerful document editor to compose beautiful content within a few minutes. It leverages the most advanced AI model to write content efficiently and effectively. This GPT-3 powered tool helps to modify texts as longer, shorter, casual, formal, and many more.
Source: Analytics Insight
Who are the top 10 AI developers who created GPT-3-powered applications?
- HTML Layout Generator by Sharif Shameem
- ‘Designer’ plugin for Figma by Jordan Singer
- Ask me anything Search Engine by Paras Chopra
- Machine Learning code generator by Matt Shumer
- Chart generator by Plotly
- Python code-generating chatbot by Joseph
- Write this like an attorney by Francis Jervis
- Quick Response by OthersideAI
- Balance sheet generator by Yash Dani
- Spreadsheet value generation by Paul Katsen
Source: Medium
How many apps were developed using OpenAI GPT?
More than 300 applications were developed using GPT-3 in the first nine months.
Source: OpenAI
How many words can GPT generate?
OpenAI generated more than 4.5 billion words per day in 2021.
Source: OpenAI
How many words were trained using GPT-3 per day in 2021?
GPT-3 has trained on 500 billion words. That’s nearly ten thousand years of continuous speech at about 100 words per minute.
Source: YCombinator
How long can it take to train GPT-4?
The exact time it takes to train GPT-4 depends on a number of factors, including the size of the model, the amount of data it is trained on, and the hardware used for training. However, it is estimated that it can take anywhere from 90 to 100 days to train a GPT-4 model on a large supercomputer.
Source: Towards Data Science
How many Nodes does GPT-3 have?
GPT-3 has 96 layers and 175 billion nodes (weights or parameters) arranged in various ways as part of the transformer model.
Source: AI Stack Exchange
How many Parameters does GPT-4 have?
GPT-4 has 175 billion parameters, according to OpenAI.
How many Neurons does GPT-3 have?
GPT-4 has 1.76 trillion neurons. This makes it one of the largest and most powerful language models ever created. GPT-4 is able to perform a wide range of tasks, including generating text, translating languages, writing different kinds of creative content, and answering your questions in an informative way.
