Microsoft (NASDAQ:MSFT)-backed generative AI company OpenAI expects to lose roughly $5B this year despite generating about $3.7B in sales as the firm behind ChatGPT grapples with rising costs. The financials,

According to documents seen by the New York Times, OpenAI expects revenue of $3.7 billion in 2024, $11.6 billion in 2025, and $100 billion in 2029.

The nonprofit artificial intelligence developer that created ChatGPT expects to lose about $5 billion this year as it seeks $7 billion in new funding to turn its core business into a for-profit corporation.

Apple is said to have dropped out of a new funding round for OpenAI at the last minute, but this will have no impact on its plans to integrate optional ChatGPT queries into Apple Intelligence.

Earlier, the valuation was expected to be around $100 billion, but now the valuation has reportedly shot up to $150 billion.

Apple has withdrawn from negotiations to join OpenAI's upcoming funding round, set to raise about $6.5 billion, according to the Wall Street Journal. Other major players like Microsoft and Nvidia remain in discussions to participate.