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How does ChatGPT make money? The ChatGPT business model

Everything you need to know

Reviewed By: Steve Hook

Last Updated on April 9, 2024
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Artificial intelligence is an expensive biz! Training an LLM (Large Language Model) costs millions of dollars, yet ChatGPT maintains that its free version will be free forever – so how does ChatGPT make money? In this article, we’ll demystify the business model of this AI chatbot, which starts with OpenAI paid subscriptions, ChatGPT Plus and ChatGPT Enterprise.

Quick Answer

Aside from ChatGPT’s paid subscription plans, the platform makes its money using multiple methods. These methods include providing API services to businesses, selling training datasets, advertising, data monetization, and more.

How does ChatGPT make money?

OpenAI’s ChatGPT is a generative AI tool, that creates human-like text in response to a user’s prompt. ChatGPT has surged in popularity over the past couple of years, with the platform reaching 100 million weekly users. But how does all that success turn into money? Well, there are a number of ways in which ChatGPT makes its money, including providing API services to businesses, selling training datasets, and more. Open AI made $1.6 billion dollars in revenue in 2023, with the majority of that money coming from ChatGPT. Let’s take a closer look at the ChatGPT business model.

Providing API services to businesses

One way ChatGPT makes money is by providing API services to businesses. This means that tech companies can integrate ChatGPT’s language model into their products and services, allowing them to provide high-quality content and accurate language processing capabilities. As a result, investors can improve their customer experience, increase their operational efficiency, and gain a competitive advantage. Some examples of businesses that use ChatGPT’s API services include Google, Microsoft, and Salesforce.

Offering premium subscription plans

ChatGPT also offers premium subscription plans to individuals and businesses who require more advanced features and capabilities. These subscription plans include ChatGPT Plus, ChatGPT Team, and ChatGPT Enterprise. Some of the features that come with these plans include:

  • Access to larger language models with more advanced language processing capabilities
  • Increased customization and control over the language model’s output
  • The ability to train the language model on specific datasets and use cases
  • Access to advanced features, like image generation and file inputting

By offering these advanced features and capabilities, ChatGPT can cater to the needs of customers who require more specialized language processing capabilities.

The pricing of each paid tier is as follows:

  • ChatGPT Plus – $20 per month
  • ChatGPT Team – starts at $30 per user per month
  • ChatGPT Enterprise – price decided upon request

If you’d like to find out a bit more about the benefits of each subscription tier, check out our guide here.

Selling training datasets

Another way ChatGPT makes money is by selling training datasets to businesses and researchers. These datasets are used to train machine learning models, including language models like ChatGPT. By selling training datasets, ChatGPT can generate revenue while also contributing to the development of the wider AI ecosystem.

Providing language processing consulting services

ChatGPT also provides language processing consulting services to businesses and organizations. These services include:

  • Customized language processing solutions for specific use cases and industries.
  • Language processing strategy development and implementation.
  • Staff training and education on language processing technologies.

ChatGPT can help businesses and organizations unlock the full potential of language processing technologies by offering these consulting services.

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Sponsored content & partnerships

ChatGPT also generates revenue through sponsored content and partnerships with businesses and content creation organizations. For instance, ChatGPT may partner with a business to develop a language processing solution for a specific topic and, in return, receive compensation for the partnership. Similarly, ChatGPT may publish sponsored content on its website or social media channels in exchange for compensation from the sponsoring business.


Advertising is another way ChatGPT makes money. By displaying ads on its website or social media accounts (Instagram, TikTok, YouTube Channel, etc), ChatGPT can generate revenue from businesses that want to reach its audience and gain potential customers. This route benefits both parties, with ChatGPT producing extra income and the businesses gaining a larger following.

Data monetization

Finally, ChatGPT may generate revenue through data monetization. As an AI language model, ChatGPT collects vast amounts of data on language usage, which can be used for a variety of purposes, including:

  • Developing new language processing models and technologies.
  • Conducting market research on language trends and usage patterns.
  • Improving the accuracy and efficiency of language processing models.

By selling access to this data, ChatGPT can generate revenue and assist other AI tools in training.

Can you make money using ChatGPT?

ChatGPT generates a large amount of income in a number of ways. But has anyone actually made money using the chatbot? The developments in GPT technology over the past few years have meant that ChatGPT’s capabilities are more advanced than ever. Users can actually now utilize these capabilities to earn money themselves.

One of the main ways ChatGPT can help you make money is through content creation services. Making video content, blog posts, and social media posts, are now a major part of most businesses. Using OpenAI’s generative tool can be a quick answer to creating content, and finding inspiration. Another way to make money using ChatGPT is by developing and selling custom chatbots powered by ChatGPT to businesses wanting to develop customer support and communication processes.


So, how does ChatGPT make money? All-in-all, ChatGPT generates revenue through various methods, including providing API services to businesses and offering premium subscription plans. Plus, it also sells training datasets and provides language processing consulting services. Apart from that, it provides sponsored content and partnerships, advertising, and data monetization. By leveraging these revenue streams, Chat GPT can continue providing valuable language processing services to individuals and businesses.

If you want to learn more about Chat GPT and some of the services it provides, check out our guide on how to use the chatbot.

As a tech and AI writer for PC Guide, Gloria is interested in what new technology means for the future of consumer electronics and digital and broadcast journalism.