# OpenAI
Latest news and articles about OpenAI
Total: 23 articles found
OpenAI Bets on Hardware and Ads as Costs Balloon — But the Path to Profit Is Fraught
OpenAI is expanding into advertising and consumer hardware as it confronts surging compute costs and intensifying competition from Google and others. Strong 2025 revenue growth masks large cash burn and funding needs that could force aggressive monetization or deep capital raises over the next 18 months.
SoftBank Eyes Giant $30 Billion Top-Up to OpenAI — A High‑Stakes Bet in the AI Arms Race
SoftBank is reportedly negotiating to invest up to $30 billion in OpenAI, a potential marquee financing that would deepen the capital race among AI developers. The move would expand OpenAI's resources for compute, talent and product rollout while raising governance and regulatory questions for both companies.
SoftBank Eyes Up to $30bn Bet on OpenAI as Valuation Nears $830bn
SoftBank is negotiating a potential investment of up to $30 billion in OpenAI that could value the company at about $830 billion. The move would mark one of the largest private bets on an AI firm, accelerating compute and product expansion but raising questions about valuation sustainability, market concentration and regulatory scrutiny.
OpenAI Tests High‑End Ads for ChatGPT — Premium Prices, TV‑Style Reporting, But Sparse Measurement
OpenAI has started selling ads in ChatGPT at premium rates comparable to high‑value broadcast inventory, offering only basic impressions and click totals to early advertisers. The company plans to develop more advanced measurement tools over time, but the current lack of granular attribution and conversion reporting limits appeal to performance‑driven buyers and poses a hurdle for competing with established ad platforms.
OpenAI’s Big Bet: $20bn Annual Revenue but a Trillion‑Dollar Gamble on Compute and Growth
OpenAI told investors and users that its 2025 annual recurring revenue exceeded $20 billion, driven by nearly tenfold compute growth since 2023 and soaring user engagement. The company is pursuing an aggressive strategy of large upfront compute investments to accelerate research and monetisation, while remaining unprofitable and negotiating huge financing and infrastructure deals.
OpenAI's Next Growth Engine: Could Conversation Ads Carve into Google’s Crown by 2030?
An Evercore analyst forecasts OpenAI could earn about $25 billion annually from advertising by 2030 if tests of in‑chat ads scale successfully. The move would leverage ChatGPT’s large user base and rich intent signals, but OpenAI faces entrenched competition from Google, privacy and regulatory hurdles, and the challenge of translating scale into profit.
OpenAI's Hardware Gamble: First Device Planned for 2026 as It Seeks Control of the AI Endpoint
OpenAI plans to ship its first hardware device in 2026, signalling a strategic move to control the AI endpoint and diversify revenue beyond cloud services. The launch raises technical, commercial and regulatory challenges but could reshape competition between model builders and incumbent tech hardware ecosystems.
OpenAI Signals First Consumer Hardware for Late 2026 as It Pushes Beyond Software
OpenAI told Davos it is likely to unveil its first consumer hardware in the second half of 2026, though no firm commitment or details were provided. The move would extend the company's push beyond software and subscriptions into tangible products, amplifying revenue diversification, supply-chain and regulatory challenges.
Musk Sues OpenAI and Microsoft for Up to $134bn, Calling Early Support an ‘Institutional Takeover’
Elon Musk has sued OpenAI and Microsoft for up to $134 billion, arguing his early funding and non‑financial contributions were wrongfully captured when OpenAI shifted toward a commercial model. The case raises novel legal questions about the enforceability of founding missions and will test how courts value founder contributions when nonprofits convert to profit-seeking entities. The dispute comes as OpenAI begins testing ads in ChatGPT to generate new revenue streams.
Musk Seeks Up to $134bn from OpenAI and Microsoft, Putting AI’s Non‑Profit Origins on Trial
Elon Musk has sued OpenAI and Microsoft for up to $134 billion, alleging that his early funding and organizational contributions were unfairly appropriated when OpenAI commercialised. The case raises a pivotal legal question about whether nonprofit mission commitments create enforceable restitution claims when an organisation restructures to accept private capital.
Musk Stakes $134 Billion Claim Against OpenAI, Escalating a Battle Over the Future of AGI
A NetEase report says Elon Musk has filed a claim seeking up to $134 billion against OpenAI, escalating a long‑running clash over control, governance and commercialisation of advanced AI. The episode highlights how personal rivalries now intersect with institutional and regulatory questions about AGI and could have material consequences for partners, investors and policymakers.