Tag: money

Big Tech doubles down on even bigger AI spend

Big tech will spend about a quarter of a trillion dollars on "capital expenditures" this year, according to quarterly reports.
Data center deals are flourishing and none of the big tech spenders feel they can afford not be in the race. (Picture: Adobe)
Quarterly results are in for Microsoft, Alphabet and Meta — and while the numbers are mixed, they all agree on big capital expenditures — needed for building data centers — for fiscal year 2025.

The coming AI wars will be fought with data centers and gigawatts, and nobody wants to lose out.

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Anthropic is now a 183 billion dollar company

Anthropic is on fire, and investors are taking notice.
Anthropic is firing on all cylinders lately, and now has the valuation to prove it. (Picture: Anthropic)
Growth seems exponential for the company, both in annual revenue, numbers of subscribers — and now in investor valuation.

The company has just finished a «Series F» fundraising round of $13 billion at a valuation of $183 billion, which will «expand our capacity to meet growing enterprise demand, deepen our safety research, and support international expansion as we continue building reliable, interpretable, and steerable AI systems,» Anthropic writes.

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OpenAI hits $10 billion in yearly revenue — well ahead of schedule

ChatGPT is turning into a pure money-making machine.
OpenAI is raking in the money, almost reaching its yearly projection by June. (Picture: Pictures of Money, CC BY 2.0)
The ChatGPT maker had forecast ~$11 billion in revenue for all of 2025, now it’s close to that target and it’s only June.

According to TechCrunch, the revenue streams from consumer products, 500 million active weekly ChatGPT users, API sales, and 3 million paying business customers.

AI industry is booming
This caps six months of remarkable growth for the AI business. Recently, Anthropic reported record revenue growth, having reached $3 billion in revenue so far this year.

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Anthropic reaches $3 billion in revenue so far this year

Claude coding is delivering stellar results for Anthropic.
Sources say Anthropic’s revenue is growing exponentially. (Picture: Anthropic)
The company hit $1B in revenue in December last year, $2B in March and just jumped another billion in May, according to sources speaking to Reuters.

These numbers are so impressive, one analyst says they lack comparison:

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OpenAI expects positive cash flow, $125 billion in sales by 2029

OpenAI predicts astronomical revenue by the end of the decade.
OpenAI predicts astronomical revenue by the end of the decade. (Picture: Conceptphoto.info, CC BY 2.0)
ChatGPT use is up to about «something like 10% of the world» said CEO Sam Altman, putting the numbers reached at roughly 800 million people, according to Pymnts.com, but that won’t be the main driver of income in coming years.

The company said in March that it anticipates revenue above $11.6 billion in 2025 – nearly tripling its 2024 numbers. It will then jump from $125B in 2029 to $174B in 2030.

Revenue will rise significantly once it can develop and charge for AI agents, and «free user monetization,» according to Slashdot.

What that «monetization» will entail is unclear so far, but Pymnts.com says they have considered things such as charging affiliate fees on links, giving it a cut of sales generated from the platform.

According to this post on r/singularity, they are not currently considering considering selling traditional advertising, but that references a December FT.com article and may well have changed.

Read more at paywalled The Information, a writeup on Pymnts.com, March 16. report on Reuters and discussion on r/singularity.