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ChatGPT costs OpenAI and Microsoft 700.000$ a Day

And why this is a Big Advantage for Hyperscalers

Christianlauer
2 min readApr 25, 2023
Photo by Matthew Manuel on Unsplash

According to different sources, Microsoft and OpenAI have to invest 700.000 US$ on a daily basis in order to keep ChatGPT going. With the new version GPT-4, it might get even more expensive[1][2].

Most of these costs are probably due to the expensive servers they require. The problem is common for all types of AI applications, because they rely on expensive specialized chips that consume an incredible amount of power. That’s the main reason why AI companies like Google and Amazon, as well as Microsoft, which is behind OpenAI, are investing heavily in developing their own chips[1][2].

Microsoft has already moved the chatbot into its cloud and is operating it there. Microsoft is also in the process of integrating ChatGPT into its own Azure Services and Office products. Google and Amazon are already using their chips in production for using the AI. Microsoft has been developing its chip, known internally as Athena, hoping to reduce its own costs.

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Christianlauer
Christianlauer

Written by Christianlauer

Big Data Enthusiast based in Hamburg and Kiel. Thankful if you would support my writing via: https://christianlauer90.medium.com/membership

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