OpenAI’s Financial Tightrope: Billions in Cloud Bets Amid Unsustainable Growth
OpenAI's $288 billion cloud computing contracts with Microsoft and Amazon represent a high-stakes gamble, not revenue. Analysts project operational costs could balloon to $792 billion by 2030, with only 35 million of its targeted 220 million AI subscribers currently onboard.
The company risks seeing its 71% market share erode to 56% within five years as competitors scale. HSBC warns the current trajectory may require $1.4 trillion in funding by 2033—a figure that dwarfs the $207 billion still needed before 2030 to maintain operations.