Nov 10 (Reuters) – OpenAI’s quarterly revenue rose about 50% to $10 billion in the third quarter, but the ChatGPT maker continued to post steep operating losses, the Wall Street Journal reported on Tuesday. • OpenAI told investors its adjusted operating margin improved to -109% from -150% in the prior quarter, according to documents viewed […]
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OpenAI posts steep losses even as quarterly revenue rises to $10 billion, WSJ reports
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Nov 10 (Reuters) – OpenAI’s quarterly revenue rose about 50% to $10 billion in the third quarter, but the ChatGPT maker continued to post steep operating losses, the Wall Street Journal reported on Tuesday.
• OpenAI told investors its adjusted operating margin improved to -109% from -150% in the prior quarter, according to documents viewed by The Wall Street Journal
• OpenAI did not immediately respond to a Reuters request for comment
• Meanwhile, the company’s operating losses widened to $10.9 billion from $10.1 billion, the WSJ report said
• The disclosure comes at a time when investors are closely scrutinizing the finances of AI companies, including rival Anthropic as it prepares for an IPO that could value the AI startup at about $1.4 trillion. This underscores strong investor appetite for AI companies despite concerns over profitability
• The Claude chatbot creator has started a roadshow for the share sale, which is expected to set a benchmark for the sector after years of AI-driven investor enthusiasm fueled a flood of capital into the industry
(Reporting by Prathik Jayaprakash in Bengaluru; Editing by Sherry Jacob-Phillips)