According to a financial document provided to investors, U.S. artificial intelligence (AI) leader OpenAI's annualized revenue as of the end of September was close to $50 billion, nearly 30 percent lower than the market-rumored estimate of around $70 billion, triggering a sharp drop in the Nasdaq on Thursday (8th). However, Bloomberg later cited sources reporting that OpenAI expects its annualized revenue to reach or exceed $70 billion by the end of this year.
Insiders said OpenAI's annualized revenue is projected based on shorter-term performance, with growth primarily driven by enterprise business expansion. Bloomberg previously reported in September that OpenAI planned to seek $30 billion in funding at a $1.4 trillion valuation. OpenAI declined to comment.
Regarding the approximately $20 billion gap between OpenAI's annualized revenue as of the end of September and market expectations, the report said this was mainly due to different calculation methods between OpenAI and investors. However, SoftBank Group, which is arranging a massive financing round for the company, saw its share price fall as much as 6.1 percent early Friday (9th) in Asian trading due to the news. (rc)
Insiders said OpenAI's annualized revenue is projected based on shorter-term performance, with growth primarily driven by enterprise business expansion. Bloomberg previously reported in September that OpenAI planned to seek $30 billion in funding at a $1.4 trillion valuation. OpenAI declined to comment.
Regarding the approximately $20 billion gap between OpenAI's annualized revenue as of the end of September and market expectations, the report said this was mainly due to different calculation methods between OpenAI and investors. However, SoftBank Group, which is arranging a massive financing round for the company, saw its share price fall as much as 6.1 percent early Friday (9th) in Asian trading due to the news. (rc)
