ChatGPT usage is likely to become more expensive in the coming years.
Citing an internal OpenAI document, the New York Times reports that OpenAI plans to increase the price of individual ChatGPT subscriptions from $20 per month to $22 per month by the end of the year. Further rapid growth is expected over the next five years. OpenAI expects to charge $44 per month for ChatGPT Plus by 2029.
This aggressive move reflects pressure from investors to cut losses on OpenAI. According to the NY Times, the company's monthly revenue hit $300 million in August, but OpenAI is expected to lose about $5 billion this year. This is due to expenses such as staffing, office rent, and AI training infrastructure. At one point, ChatGPT alone was reportedly costing OpenAI $700,000 per day.
OpenAI could face a backlash if it raises prices too quickly. ChatGPT currently has about 10 million paid users, but research shows that many think the current $20 monthly fee is too high.