OpenAI is reportedly preparing to cut costs for developers and enterprise users.
Set to be unveiled next month, these changes are expected to streamline and reduce software development costs using its AI models, informed sources close to the matter.
One of the most notable upgrades is integrating memory storage in OpenAI’s developer tools, which could drastically reduce application development costs – by as much as 20 times, according to one source.
Moreover, OpenAI is set to expand its capabilities by granting developers access to GPT-4V’s image recognition features.
These upcoming features, anticipated to be launched at OpenAI’s developer conference in San Francisco on November 6, align with the company’s broader vision to enhance product monetization.
Monetizing AI products is notoriously difficult and isn’t sustainable through subscriptions alone – large-scale developers have to buy in, too – and preferably enterprises.
OpenAI has set ambitious targets, projecting to close the year with revenues of $200 million and aiming for $1 billion by 2024.
However, it hasn’t been entirely smooth sailing. While consumers flocked to ChatGPT, OpenAI found it challenging to convince other businesses to integrate its technology. The GPT models have likely suffered from some form of ‘drift’ in recent months, with thousands of users reporting that GPT-4’s quality has fluctuated.
Despite the global excitement around AI and investments pouring into startups, some argue that businesses are beginning to see the value in investing in their own open-source models, thus reducing dependency on companies like OpenAI.
As part of their broader monetization strategy, OpenAI recently announced ChatGPT Enterprise, aimed at enhancing enterprise accessibility to their models while protecting sensitive business data.
OpenAI’s recent releases, such as ChatGPT plugins, seek to give developers more tools and flexibility. However, there’s been a mixed response, with some tools being exposed as gimmicks rather than reliable tools that can fuel business growth.
AI developers have work to do to progressively monetize their products and keep investment high. However, it’s early days, and businesses are still trying to figure out where best to deploy generative AI to their advantage.