← Back to context

Comment by paxys

13 days ago

How does OpenAI make money from AI? The vast majority of the planet isn't paying them $20/month, and it is likely that they will never recover training and inference costs just from subscription fees. Frying GPUs to generate Ghibli images is getting them a negligible amount of added revenue.

Now think of Meta and their suite of products which already generate $160B+/yr from advertising. Every extra minute they can get a user to spend on Facebook or Instagram, this number goes up. Think about how much money Meta will make if the next viral AI moment happens in their products.

TL;DR: AI -> engagement -> ads -> revenue.