Key Takeaways
- OpenAI CEO Sam Altman announced GPT-4 Turbo, the latest generation of the company’s artificial intelligence model that it says is faster, cheaper, and more powerful than past iterations.
- The AI pioneer is the creator of ChatGPT and is backed by multi-billion dollar investments from Microsoft.
- OpenAI faces a competitive market for AI tools in which other tech giants, like Amazon, Meta, Google, and X are also vying for users.
ChatGPT maker OpenAI unveiled its latest and most powerful artificial intelligence (AI) model called GPT-4 Turbo at its developer conference Monday, in a move that could help the startup push ahead of the competition from tech giants.
Microsoft-backed (MSFT) OpenAI said its GPT-4 Turbo, which would begin rolling out to customers Monday, is faster and cheaper than previous models. GPT-4 Turbo offers information up to April 2023, in addition to utilizing the company’s existing AI voice and image features such as Dall-E 3.
CEO Sam Altman said there are already 100 million active weekly ChatGPT users and more than 90% of Fortune 500 companies are building on OpenAI’s products.
While OpenAI offers a free version of ChatGPT on its website, the company also sells premium subscriptions to organizations that pay for added features. Altman reportedly told staff last month the company was on track to make $1.3 billion in annual revenue.
OpenAI’s release comes as tech giants like Alphabet (GOOGL), Amazon (AMZN), Meta (META), and X compete for users of AI tools. Alphabet’s Google released its Bard earlier this year, while Meta has capitalized on AI to boost tools for advertisers. Amazon has invested in AI startup Anthropic, and this week, Elon Musk announced X’s (formerly Twitter) AI tool Grok.
The Turbo GPT-4 rollout also comes amid reports that OpenAI could be looking to sell existing employees’ shares at an $86 billion valuation, though Altman has previously indicated that OpenAI was not planning an initial public offering (IPO).
