Technology

2657 readers

371 users here now

Tech related news and discussion. Link to anything, it doesn't need to be a news article.

Let's keep the politics and business side of things to a minimum.

Rules

No memes

founded 1 year ago

MODERATORS

rimu@piefed.social

233

OpenAI falling short of their ad revenue projections by 90% (futurism.com)

submitted 15 hours ago by rimu@piefed.social to c/technology@piefed.social

27 comments fedilink hide all child comments

OpenAI wants you to believe that by 2030, it’ll be raking in $100 billion a year just from ads alone - even though it’s currently struggling to reach just $1 billion.

you are viewing a single comment's thread
view the rest of the comments

[–] Hegar@fedia.io 18 points 14 hours ago

Yeah this whole thing is missing some crucial information.

The paragraph quoted in the post makes it sound like they are near $1b in revenue but i think they're just speaking rhetorically, "you want 100? You can't even get 1!"

In 2026, Emarketer projects that the combination of OpenAI, Microsoft, Google, and Amazon will bring in under $1 billion in ad revenue. For context, OpenAI had projected that its AI ad revenue alone would hit $2.5 billion by the end of this year.

This makes it sound like openai is projected to make $250m this year, if they're 90% short of revenue projections for this year. That's a full 25% of the $1b total ad revenue that OpenAI, Microsoft, Google, and Amazon make combined. Which is reasonable, but it does make their projections seem absolutely farcical. At least to me, but i don't know finances.

It would be good to check rhe original analysis the article cites but it's paywalled and begins with the same misleading comparison of 2030 to now.