The popularity of ChatGPT saw OpenAI roll out a mobile-only version of the AI-powered chatbot earlier this year. And the app itself has been quite popular, if the statistics are any indication. On the contrary though, the rate of revenue growth and installs has slowed, according to media reports and analysis firm Appfigures.
A TechCrunch analysis on ChatGPT’s revenue growth, suggests that the absolute numbers are impressive, with consecutive monthly increases in subscription revenue. However, the slowing growth rate, dropping from 31% in July and 39% in August to 20% in September, signals that the app may be approaching saturation in terms of users willing to pay for premium services. The impact here is that sustained high growth rates may be challenging to maintain. Nonetheless, a growth rate of 20% is still an impressive one, and ChatGPT has already established a strong user base across the globe. That the momentum has slowed down is no surprise – especially since chatbots and AI apps are popping up by the dozens nowadays.
The numbers itself are impressive – the mobile app of ChatGPT saw a total of 15.6 million downloads on iOS and Android alike. 9 million downloads were clocked on the Android version of the app, while the iOS version saw a total of 6.6 million downloads. Its gross revenue across both platforms amounted to nearly $4.6 million, and overall, the ChatGPT app on mobile has seen a total of 52.2 million downloads so far.
The App Store plays a pivotal role in driving revenue for ChatGPT, contributing $3 million of total in-app purchases in September. ChatGPT Plus – ChatGPT’s maiden subscription plan – has proved to be a success as well. The success of ChatGPT’s subscription model, priced at $19.99 per month, has made it a significant revenue generator. The revenue for ChatGPT Plus clocked a rise in recent months – a total of $3.81 million in August and $2.74 million in July – revealing that users are interested in accessing premium features such as access to GPT-4, faster response speed, and exclusive access to features like Plugins and Advanced Data Analysis.
OpenAI’s ambition to reach $1 billion in revenue in 2023 remains one of its long-term goals. However, the cost of running ChatGPT is substantial, with each query estimated at around 4 cents. It remains to be seen whether OpenAI is able to ensure the long-term viability and scalability of ChatGPT, especially if it aims to compete with major search engines. It is also essential to consider the profitability – Asclepius AI has generated higher revenue figures, while Ask AI, despite higher revenues, may not be as profitable due to a greater amount of ad spending.
