Foreign trouble to chatGPT OpenAI may go bankrupt by 2024.
OpenAI has been working tirelessly to come up with the best AI bot ever to exist. This powerful bot has made your life so much easier since its release and people loved it. It helps you in so many ways. For example, people do not have to go to Google and spend hours trying to look up a topic.
However, this extremely powerful AI has been facing some challenges recently. It looks like the company may go bankrupt by the end of 2023.
When OpenAI launched ChatGPT, everyone loved it and it became a huge success with so many users in one day that they had to go under maintenance day after day simply because it couldn’t handle the amount of users on it. Then other companies started following the trend of AI and chat bots like never before.
Sure, there already were AI chat bots for customer services and helplines, but not to this scale. Followed by OpenAI, Google launched Bard, Snapchat integrated its own AI chat bot, and then we have the extremely powerful Lama 2 by Meta.
With so many options in place, ChatGPT seriously had to do something to keep users engaged with their AI tool and not want to shift anywhere else. They, however, are facing some issues, including high cost to operate. When you have an AI tool like ChatGPT, it is insanely difficult to sustain it because it simply costs a lot of computing power. And more computing power means money is likely to be spent.
The best suited and most powerful processor available is the GPU, which by itself isn’t cheap at all. Their main function is to run and train this huge language model. With time, the price of GPU has been going up, which has made it a lot more expensive to operate ChatGPT. Back in 2022, OpenAI claimed it cost them seven hundred thousand dollars per day to run ChatGPT, and since the cost of these GPUs continues to rise, it’s likely to be a lot higher in 2023.
This high price seems to be burning through money at a very high pace, and apart from the expensive GPUs, the company has to pay rent, power, salaries, and other expenses. While the lack of user engagement wasn’t helping either. Lack of user engagement and high cost to operate are the main reasons why OpenAI may go bankrupt.
When ChatGPT first came out, it became the fastest growing app with a record-breaking influx of users during its early stages. But in July 2023, we saw a decline of almost 12 percent when it went from 1.7 billion users to almost 1.5 billion users. This is partly because when ChatGPT first came out, people were really excited to use it. The idea of a machine taking in a piece of text, analyzing it, and giving back a customized relevant response was a concept so strange to people. They couldn’t wait to try it for themselves.
However, with time, people started wanting more. AI is still limited in terms of the things it can do. People now want to do more and want a more interactive and diverse experience. They now want the technology to do more than just the usual text to speech that every other model does just as well, if not better.
While GPT does things flawlessly, there are a few things it lags in, which can be a huge bummer. ChatGPT comes with two options, the standard GPT 3.5 and the more powerful GPT4. While the 3.5 is free to use, GPT4 is paid. And this is a bit of an issue for some people. This subscription has made it harder for some people to truly enjoy the full potential of this AI model. So it’s only natural that people start looking somewhere else.
Lama 2 launched and changed the game for ChatGPT. Recently, Meta came in and decided to do something extraordinary. Mark Zuckerberg, the CEO of Meta, wanted to prove to people that AI isn’t a threat to humanity but instead can help the people. So he came up with Lama 2, wanting to bring a change to the world. He made this AI tool public and totally free for anyone to study and use.
While there’s no information on how much Meta invested in this AI tool, it’s completely free for anyone to use and integrate. And it has proven to be much better than ChatGPT. First of all, it’s much more accurate and outperforms GPT in producing text that is factually accurate due to its training in both text and code. Secondly, it’s free. So instead of going with what OpenAI offers, for which you have to pay, Lama 2 offers better results.
So it’s obvious why people would go for an easily modifiable Lama 2, and how things are going right now, it looks like the only thing keeping OpenAI in running order is Microsoft’s 10 billion dollar investment on it.
But if you think Lama did some damage, then wait till you hear about what we have to say next. Elon Musk comes in with XI. Elon Musk has been telling us about the dangers of AI for some time now. He’s been telling us how it should be used responsibly or the end results could be fatal.
Initially, Musk had partnered with the people at OpenAI with the mutual agreement that the tool will remain non-profit and be used to make life easier. However, his partners who did agree to it had a change of heart and decided to go for profit, which led to Musk going his own way and leaving OpenAI for good.
Only three years later, in 2018, Musk at one point publicly declared that he wants to develop a rival chatbot named Truth GPT and then went ahead to start his own startup, the X-Core, which is a team of people who are experts on AI. There are safety researchers and former employees from top firms like Google and OpenAI itself.
They’re working together with Musk’s other companies, Tesla and SpaceX, to share resources and the huge amount of data it needs to make a one-of-a-kind AI tool that stands out from the rest. Some reports say he went ahead and invested 10 million dollars and bought 10,000 Nvidia GPUs to train his AI.
Other AI models focus on removing bias or unfair data from their training data to give off a fair result. But Musk is concerned that since we have no idea what the machine thinks is fair or how it comes up with the conclusion, we can’t really be safe. So he comes up with a model that will be curious of how the universe works, and since human beings are an important part of it, the AI will not see it as a threat in any way.
How this will work is this model will be extremely curious, and because of this, we’ll leave the already existing regular models behind. This model will not only give you results but will tell you exactly what causes these things to happen or simply why this happens. And in some cases, we’ll even identify the bias data for you to easily clear out.
Once this kind of AI tool comes in, it’s guaranteed to revolutionize the world of AI. There’s a shortage of GPUs, so many companies investing heavily into AI and buying GPUs may be another reason for OpenAI to start losing money. Now that you know that you need insanely powerful GPUs to train and run AI models, many companies are going overboard with buying GPUs in huge amounts, causing a GPU shortage.
While OpenAI, like other companies, is trying to build and improve its AI, it needs GPUs. So with a shortage of GPUs, OpenAI is not able to improve ChatGPT. What do you think about OpenAI’s ChatGPT going bankrupt? Let us know in the comments section below.
If you enjoyed today’s video, then make sure to leave us a thumbs up and do not forget to subscribe to our channel and click on the bell icon to be always updated with the most exciting content as soon as it’s uploaded. Thanks for watching, see you again soon in another video. Have a good time, Online Learning Team. Subscribe to us.
