OpenAI expects roughly $5 billion in losses this year, according to reports from The New York Times and CNBC.
The company, which owns ChatGPT, had $3.7 billion in revenue this year and expects to increase revenue to over $11 billion next year, The Times initially reported.
The losses, according to The Times, relate to general expenses such as salaries and office rent as well as operational costs.
This week, news broke that several top executives departed the firm amid reports it seeks to restructure as a for-profit business. Sam Altman, the company’s founder, described the departures as amicable.
“I am extremely grateful to all of them for their contributions,” Altman added.
As part of the restructuring, OpenAI would become a public benefit corporation – no longer controlled by a nonprofit board, The Hill reported.
According to The Times, the company is expected to raise the price of a paid version of ChatGPT by $2 before the end of year.
The Hill reached out to OpenAI for comment about these reports.