- OpenAI offers a paid version of its product, which raises questions about future access.
- Its CEO, Sam Altman, had signaled that the day would come, saying it would have to “monetize it somehow”.
- The tie-up with Microsoft could help develop more sophisticated ChatGPT versions, experts said.
As OpenAI moves towards charging for more sophisticated versions of its popular ChatGPT bot, users may wonder how much longer they can count on it being free.
The company, which recently unveiled Microsoft’s multi-billion dollar investment in its technology, has launched plans for a subscription option called “ChatGPT Professional”, which would provide greater access at a cost.
As OpenAI gathers feedback from potential customers on what they think the AI bot’s offerings are worth to them, some users are seeing a $42 monthly option, The Verge reported this month.
OpenAI CEO Sam Altman had indicated that such an option might be in the works when he tweeted in december that “we will have to monetize it somehow at some point; the computational costs are exorbitant”.
Moving towards paid versions is a common framework for new technologies, where companies may release free or low-cost versions to attract users and gauge adoption.
For example, the online storage service model Dropbox, which offers paid plans and a free version, could give an idea of how companies like OpenAI might think about their own products, marketing experts said.
“The logic is that they have to make these things appealing to change consumer behavior,” said Jonathan Zhang, an associate professor of marketing at Colorado State University. “As these things become a habit, these types of deep discounts tend to disappear.”
A representative for OpenAI did not respond to Insider’s request for comment before publication.
Microsoft’s investment in OpenAI could also help develop more expansive and specialized versions of ChatGPT that could help the startup provide tiered options.
It is likely, for example, that OpenAI will maintain a simpler free version of ChatGPT, where access could be restricted due to demand, and users would potentially have to wait in queues, Vivek Astvansh said, assistant professor of marketing at the Kelley School. business at Indiana University.
He may also consider additional paid versions for individuals or businesses, and perhaps even find ways to determine pricing based on the type and amount of content a user wants ChatGPT to produce, and how much. that he would be willing to pay. that, he said.
Keeping a free version of ChatGPT will always help the company grow its technology, Astvansh said.
“A free version will help collect data on how people ask questions and help improve other versions of GPT,” he said.
As the computing power and other infrastructure needed to support these types of generative AI products improves, the buzz around AI is drawing companies into the space. But how the investment will pay off is still a work in progress, according to Nick Washburn, an investor at Intel Capital.
“If someone tells you what the business models will be behind this stuff, they’re making it up,” he said. “It’s calculated in real time.”