OpenAI is an American artificial intelligence organization focused on developing safe and beneficial AGI. It is headquartered in San Francisco and is known for its development of the GPT family of large language models, the DALL-E series of text-to-image models, and Sora, a text-to-video model. The release of ChatGPT in November 2022 significantly increased public interest in generative AI.
In December 2015, Greg Brockman hired nine AI researchers as the first employees of OpenAI.
In December 2015, OpenAI was founded as a not for profit organization by Sam Altman, Elon Musk, Ilya Sutskever, Greg Brockman, Trevor Blackwell, Vicki Cheung, Andrej Karpathy, Durk Kingma, John Schulman, Pamela Vagata, and Wojciech Zaremba, with Sam Altman and Elon Musk as the co-chairs.
In 2015, Musk and Altman stated that their motivations for creating OpenAI were partly due to concerns about AI safety and the existential risks associated with artificial general intelligence.
In 2015, the non-profit OpenAI Foundation was founded and registered in Delaware. The foundation holds a 26% equity stake in OpenAI Group PBC.
In April 2016, OpenAI released a public beta version of "OpenAI Gym", its platform for reinforcement learning research.
In August 2016, Nvidia gifted its first DGX-1 supercomputer to OpenAI to help train larger, more complex AI models and reduce processing time.
In December 2016, OpenAI released "Universe", a software platform for measuring and training an AI's general intelligence across various applications.
In 2016, OpenAI spent $7 million on its first 52 employees.
In 2017, OpenAI spent $7.9 million, or a quarter of its functional expenses, on cloud computing alone.
In 2018, Elon Musk resigned from OpenAI's Board of Directors due to a potential conflict of interest with Tesla's AI development for self-driving cars. OpenAI noted that Musk's financial contributions were below $45 million.
In the summer of 2018, training OpenAI's Dota 2 bots required renting 128,000 CPUs and 256 GPUs from Google for multiple weeks.
In February 2019, OpenAI announced GPT-2, a language model that gained attention for its ability to generate human-like text.
In 2019, OpenAI created OpenAI Global, LLC, a capped-profit subsidiary controlled by the nonprofit.
In 2019, OpenAI transitioned from a non-profit organization to a "capped" for-profit model, with profits capped at 100 times any investment.
Until 2019, the actual collected total amount of contributions was only $130 million, from an initial pledge of $1 billion in capital.
Between December 2020 and January 2021, eleven employees left OpenAI to establish Anthropic.
In 2020, OpenAI announced GPT-3, a language model trained on large internet datasets, designed for natural language question answering and text generation. They also announced the API, which would form the core of their first commercial product.
Between December 2020 and January 2021, eleven employees left OpenAI to establish Anthropic.
Starting in November 2021, OpenAI outsourced data annotation to Sama in Kenya to train AI models for toxicity detection. This involved annotators reviewing content containing detailed descriptions of violence, causing mental distress. OpenAI paid Sama $12.50 per hour, while annotators received $1.32 to $2.00 per hour post-tax.
In 2021, OpenAI developed a speech recognition tool called Whisper and used it to transcribe more than one million hours of YouTube videos into text for training GPT-4, raising internal concerns about violating YouTube's terms of service.
In 2021, OpenAI introduced DALL-E, a deep learning model that generates images from textual descriptions, utilizing a variant of the GPT-3 architecture.
In January 2023, OpenAI Global, LLC was in talks for funding that would value the company at $29 billion, double its 2021 value.
In November 2022, OpenAI released ChatGPT, which is credited with sparking widespread interest in generative AI.
In December 2022, OpenAI launched a free preview of ChatGPT, its new AI chatbot based on GPT-3.5, which received over a million sign-ups within the first five days.
In January 2023, OpenAI Global, LLC was in talks for funding that would value the company at $29 billion, doubling its 2021 valuation.
On January 23, 2023, Microsoft announced a new US$10 billion investment in OpenAI Global, LLC over multiple years, partially needed to use Microsoft's cloud-computing service Azure.
On February 7, 2023, Microsoft announced the integration of AI technology, based on the same foundation as ChatGPT, into Microsoft Bing, Edge, Microsoft 365, and other products.
On March 3, 2023, Reid Hoffman resigned from his OpenAI board seat to avoid conflicts of interest with his investments in AI companies through Greylock Partners and his co-founding of Inflection AI.
On March 14, 2023, OpenAI released GPT-4 as an API (with a waitlist) and as a feature of ChatGPT Plus.
In March 2023, OpenAI faced criticism for not disclosing sufficient technical details about products like GPT-4, a move that contradicted its initial openness commitment and hindered independent research and safeguards development. This strategic shift was attributed to competitiveness and safety concerns.
In April 2023, the EU's European Data Protection Board (EDPB) formed a dedicated task force on ChatGPT to foster cooperation and exchange information on possible enforcement actions conducted by data protection authorities.
In May 2023, Sam Altman, Greg Brockman, and Ilya Sutskever posted recommendations for governing superintelligence, warning of existential risks and proposing an international watchdog similar to the IAEA to oversee AI systems.
In June 2023, a lawsuit filed in San Francisco claimed that OpenAI scraped 300 billion words online without consent and without registering as a data broker, alleging unlawful collection and use of personal data to train AI models.
In July 2023, OpenAI launched the superalignment project, aiming to align future superintelligences by automating alignment research using AI, dedicating 20% of its computing resources to the project.
In July 2023, OpenAI was sued for copyright infringement by authors Sarah Silverman, Matthew Butterick, Paul Tremblay and Mona Awad.
In July 2023, the FTC launched an investigation into OpenAI over allegations that the company scraped public data and published false and defamatory information. They asked OpenAI for comprehensive information about its technology and privacy safeguards, as well as any steps taken to prevent the recurrence of situations in which its chatbot generated false and derogatory content about people.
In August 2023, OpenAI acquired Global Illumination, a New York-based start-up focused on AI-driven digital infrastructure and creative tools.
In September 2023, 17 authors, including George R. R. Martin, John Grisham, Jodi Picoult and Jonathan Franzen, joined the Authors Guild in filing a class action lawsuit against OpenAI, alleging the illegal use of their copyrighted work.
On September 21, 2023, Microsoft began rebranding all variants of its Copilot to Microsoft Copilot, including the former Bing Chat and the Microsoft 365 Copilot.
On November 6, 2023, OpenAI launched GPTs, which allows users to create custom versions of ChatGPT for specific purposes.
On November 14, 2023, OpenAI temporarily suspended new sign-ups for ChatGPT Plus due to high demand.
In November 2023, OpenAI's board removed Sam Altman as CEO due to a lack of confidence but reinstated him five days later following a board reconstruction.
On November 17, 2023, Sam Altman was removed as CEO by the board of directors due to a lack of confidence. Mira Murati became interim CEO, and Greg Brockman resigned as chairman. Three senior researchers also resigned.
On November 18, 2023, discussions began about Sam Altman potentially returning as CEO due to pressure from investors like Microsoft and Thrive Capital, with Altman considering starting a new company if reinstatement talks failed.
On November 19, 2023, negotiations for Sam Altman's return fell through, leading to Emmett Shear replacing Mira Murati as interim CEO. The board also approached Anthropic CEO Dario Amodei, proposing a merger, but both offers were declined.
On November 20, 2023, Microsoft CEO Satya Nadella announced that Sam Altman and Greg Brockman would join Microsoft to lead a new AI research team. OpenAI employees threatened to quit and join Microsoft if Altman wasn't rehired, prompting renewed negotiations.
On November 21, 2023, Sam Altman and Greg Brockman returned to their previous roles at OpenAI following negotiations, along with a reconstructed board. Bret Taylor was appointed as chairman and Lawrence Summers as a new member.
On November 29, 2023, OpenAI announced that an anonymous Microsoft employee had joined the board as a non-voting member to observe the company's operations.
In December 2023, Microsoft added MS-Copilot to many installations of Windows 11 and Windows 10, as well as releasing a standalone Microsoft Copilot app for Android and iOS.
In late December 2023, The New York Times also sued OpenAI for copyright infringement.
According to anonymous sources cited by Reuters in December 2022, OpenAI Global, LLC was projecting $200 million of revenue in 2023.
On January 10, 2024, OpenAI was criticized for lifting its ban on using ChatGPT for "military and warfare", which was previously prohibited under its usage policies. The new policies prohibit using the service to harm others or to develop or use weapons.
In January 2024, Arizona State University purchased ChatGPT Enterprise, marking OpenAI's first deal with a university.
In February 2024, The Intercept as well as Raw Story and Alternate Media Inc. filed lawsuit against OpenAI on copyright litigation ground. The lawsuit is said to have charted a new legal strategy for digital-only publishers to sue OpenAI.
In February 2024, the Securities and Exchange Commission (SEC) subpoenaed OpenAI's internal communications to investigate whether Altman's candor misled investors.
On February 29, 2024, Elon Musk filed a lawsuit against OpenAI and CEO Sam Altman, accusing them of shifting focus from public benefit to profit maximization.
On April 9, 2024, OpenAI countersued Elon Musk in federal court, alleging bad-faith tactics to slow the company's progress and seize its innovations for his personal benefit.
In late April 2024, NOYB filed a complaint with the Austrian Datenschutzbehörde against OpenAI for violating the European General Data Protection Regulation after ChatGPT provided a false date of birth for a living person and denied a request to correct the mistake.
In May 2024 it was revealed that OpenAI had destroyed its Books1 and Books2 training datasets, which were used in the training of GPT-3, and which the Authors Guild believed to have contained over 100,000 copyrighted books.
In May 2024, Chief Scientist Ilya Sutskever resigned from OpenAI and was succeeded by Jakub Pachocki. Co-leader Jan Leike also departed amid concerns over safety and trust. OpenAI then signed deals with Reddit, News Corp, Axios, and Vox Media. Paul Nakasone then joined the board of OpenAI.
In May 2024, OpenAI ended the superalignment project after its co-leaders Ilya Sutskever and Jan Leike left the company.
On May 22, 2024, OpenAI entered into an agreement with News Corp to integrate news content from publications like The Wall Street Journal into its AI platform.
On May 23, 2024, OpenAI sent a memo releasing former employees from a lifelong non-disparagement agreement that forbade them from criticizing OpenAI.
In June 2024, OpenAI acquired Multi, a startup specializing in remote collaboration technology.
In July 2024, Microsoft resigned from the OpenAI board, ending the observer role that began in November 2023.
In August 2024, cofounder John Schulman left OpenAI to join Anthropic, and OpenAI's president Greg Brockman took extended leave until November.
In September 2024, OpenAI's global affairs chief endorsed the UK's "smart" AI regulation during testimony to a House of Lords committee.
In October 2024 during a New York Times interview, Suchir Balaji accused OpenAI of violating copyright law in developing its commercial LLMs which he had helped engineer. He was a likely witness in a major copyright trial against the AI company, and was one of several of its current or former employees named in court filings as potentially having documents relevant to the case.
In October 2024, The Intercept revealed that OpenAI's tools are considered "essential" for AFRICOM's mission and included in an "Exception to Fair Opportunity" contractual agreement between the United States Department of Defense and Microsoft.
In November 2024, a coalition of Canadian news outlets, including the Toronto Star, Metroland Media, Postmedia, The Globe and Mail, The Canadian Press and CBC, sued OpenAI for using their news articles to train its software without permission.
On November 26, 2024, Suchir Balaji shot himself dead, leading to conspiracy theories suggesting he had been deliberately silenced. California Congressman Ro Khanna endorsed calls for an investigation.
In December 2024, OpenAI announced that it would partner with defense-tech company Anduril to build drone defense technologies for the United States and its allies.
In December 2024, OpenAI launched the Sora model and OpenAI o1, an early reasoning model. They also launched ChatGPT Pro, a $200/month subscription service with unlimited o1 access and enhanced voice features, and shared preliminary benchmark results for the upcoming OpenAI o3 models.
In December 2024, OpenAI proposed a restructuring plan to convert the capped-profit subsidiary into a Delaware-based public benefit corporation and release it from the control of the nonprofit.
According to anonymous sources cited by Reuters in December 2022, OpenAI Global, LLC was projecting $1 billion of revenue in 2024.
In 2024, Microsoft was already CoreWeave's biggest customer. OpenAI and Microsoft were renegotiating their partnership terms to facilitate a potential future IPO by OpenAI and to ensure Microsoft's continued access to advanced AI models.
In 2024, OpenAI announced the $6.5 billion acquisition of io, an AI hardware start-up founded by former Apple designer Jony Ive.
In 2024, OpenAI began collaborating with Broadcom to design a custom AI chip for training and inference, with mass production targeted for 2026.
In 2024, following the temporary removal of Sam Altman and his return to OpenAI, many employees, including most of the original leadership team and numerous AI safety researchers, gradually left the company.
Throughout 2024, approximately half of OpenAI's AI safety researchers left the company, citing industry-wide problems.
On January 21, 2025, Donald Trump announced The Stargate Project, a joint venture between OpenAI, Oracle, SoftBank, and MGX to build an AI infrastructure system in conjunction with the US government.
On January 23, 2025, OpenAI released Operator, an AI agent and web automation tool for accessing websites to execute goals defined by users, available only to Pro users in the United States.
On February 10, 2025, a consortium of investors led by Elon Musk submitted a $97.4 billion unsolicited bid to buy the nonprofit that controls OpenAI.
In February 2025, OpenAI CEO Sam Altman expressed interest in collaborating with the People's Republic of China, despite U.S. regulatory restrictions. This shift was in response to the growing influence of DeepSeek, leading OpenAI to overhaul its security operations to guard against industrial espionage.
In February 2025, OpenAI rejected the $97.4 billion unsolicited bid led by Elon Musk, stating that it was not for sale.
In March 2025, OpenAI reached an agreement with CoreWeave to acquire $350 million worth of CoreWeave shares and secure access to AI infrastructure, with OpenAI paying $11.9 billion over five years.
In March 2025, amid the existence of 781 state AI bills or laws in the United States, OpenAI advocated for preempting state AI laws with federal laws. OpenAI opposed California's AI legislation, suggesting it encroaches on a more competent federal government.
By April 2025, ChatGPT subscriptions reached 20 million paid subscribers, up from 15.5 million at the end of 2024.
In April 2025, OpenAI raised $40 billion at a $300 billion post-money valuation, which was the highest-value private technology deal in history. SoftBank led the financing round with participants including Microsoft, Coatue, Altimeter and Thrive.
In June 2025, the U.S. Department of Defense awarded OpenAI a $200 million one-year contract to develop AI tools for military and national security applications. OpenAI also announced a new program, OpenAI for Government, to give federal, state, and local governments access to its models, including ChatGPT.
In July 2025, OpenAI reported annualized revenue of $12 billion.
In July 2025, reports emerged that AI models from OpenAI and Google DeepMind could solve mathematics problems at the level of top-performing students in the International Mathematical Olympiad, with OpenAI's model achieving gold medal-level performance.
On August 1, 2025, OpenAI announced the permanent removal of the 'share with search engines' feature after thousands of private ChatGPT conversations were exposed to public search engines. The company began coordinating with search providers to remove the exposed content, emphasizing that it was not a security breach but a design flaw that heightened privacy risks.
In August 2025, OpenAI faced criticism after thousands of private ChatGPT conversations were inadvertently exposed to public search engines due to an experimental "share with search engines" feature, which was then permanently removed on August 1, 2025.
In August 2025, the parents of a teenager who died by suicide filed a wrongful death lawsuit in California against OpenAI, alleging that conversations with ChatGPT about mental health and self-harm contributed to the death. The lawsuit claims that safeguards were inadequate for minors. OpenAI expressed condolences and stated they would strengthen protections.
In September 2025, OpenAI agreed to acquire Statsig for $1.1 billion and appointed Statsig's CEO Vijaye Raji as CTO. OpenAI also announced an AI-driven hiring service to rival LinkedIn.
In September 2025, OpenAI and NVIDIA announced a partnership involving a potential deployment of at least 10 gigawatts of NVIDIA systems and a $100 billion investment from NVIDIA in OpenAI.
In September 2025, OpenAI released a study that revealed over 72% of ChatGPT usage was for non-work-related tasks, indicating a significant portion of its application lies outside business productivity.
In September 2025, OpenAI signed a contract with Oracle to purchase $300 billion in computing power over the next five years.
In October 2025, OpenAI acquired Roi, a personal finance app.
In October 2025, OpenAI announced a multi-billion dollar deal with AMD, committing to purchase six gigawatts of AMD chips, starting with the MI450. OpenAI may also buy up to 160 million shares of AMD, contingent on development, performance, and share price targets.
In October 2025, OpenAI conducted a $6.6 billion share sale that valued the company at $500 billion. On 28 October 2025, OpenAI said it had converted its main business into a for-profit corporation, with Microsoft acquiring a 27% stake in the company and the remaining non-profit company (now known as the OpenAI Foundation) owning a 26% stake.
In October 2025, OpenAI finalized an employee share sale of up to $10 billion to existing investors, valuing the company at $500 billion, surpassing SpaceX as the world's most valuable private company.
On October 28, 2025, OpenAI announced it adopted a new corporate structure after receiving approval from the attorneys general of California and Delaware. The for-profit branch became OpenAI Group PBC, and the non-profit was renamed OpenAI Foundation.
In 2025, OpenAI introduced ChatGPT Atlas, a browser integrating the ChatGPT assistant directly into web navigation.
In 2025, OpenAI projects to lose $8 billion due to intensive computational costs for training and running large language models.
In 2025, OpenAI's Chief Product Officer, Kevin Weil, was commissioned as a lieutenant colonel in the U.S. Army to join Detachment 201 as a senior advisor.
In 2025, following OpenAI's restructuring, Microsoft owns a 27% stake in OpenAI Group PBC, valued at $135 billion. OpenAI also agreed to purchase $250 billion of Azure services from Microsoft.
In 2026, OpenAI and Broadcom are targeting mass production of their custom AI chip, manufactured by TSMC in 3 nm node, aiming to reduce reliance on Nvidia GPUs.
In 2026, OpenAI's annual cash burn is projected to escalate significantly, with spending expected to reach $17 billion.
In 2027, OpenAI's annual cash burn is projected to reach $35 billion.
In 2028, OpenAI's annual cash burn is projected to reach $45 billion.
In 2029, OpenAI is targeting to achieve cash flow positive operations, prioritizing market expansion and technological advancement over near-term profitability.
Looking ahead, OpenAI has revised upward its long-term spending projections, now expecting to burn approximately $115 billion through 2029.
In 2030, OpenAI is projecting revenue of approximately $200 billion, underscoring the capital requirements for scaling AI technology.
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