Has AI Hit a Roadblock? What Startup Marketers Need to Know
The world of AI was rocked in August 2023 by the news that OpenAI, developers of ChatGPT, could go bankrupt by 2024. Is this just hyperbole for media attention? Or is there a fundamental issue that could spell the end for this AI giant? More importantly for marketers, does it mean that startups relying on GPT technology should bail out now?
What’s Happening: OpenAI Hemorrhaging Money
ChatGPT was a huge success at the end of 2022, and broke records for the fastest growing userbase for a single application. Unfortunately, the user base has now dwindled as the novelty has worn off. OpenAI is allegedly spending $700,000 per day to keep this single tool active. The company recently received $10 billion in funding from Microsoft, so, there’s no danger of the money running out just yet. However, OpenAI is struggling to monetize its GPT technology, probably because there are now cheaper large language models (LLMs) that companies can leverage to create their own chatbots and similar solutions.
I’m a Marketer That Uses GPT-4. Should I Stop?
There’s no immediate reason to stop utilizing GPT technology. GPT-4 is the generative AI solution of choice for many businesses, and the fact that Microsoft funded the parent company for such a large amount should reassure most users. It’s unlikely that OpenAI will pull the plug on any of their current projects anytime soon, despite sensationalist headlines about bankruptcy.
Does GPT Technology Really Work for Marketing?
Yes, there are plenty of ways to put generative AI tools like ChatGPT and GPT-4 to use for marketing purposes.
Expedia helps users book holidays by engaging them in conversation with a ChatGPT-powered chatbot that helps create smart lists of hotels and attractions.
Morgan Stanley uses GPT-4 to sift through tons of online content and provide concise and helpful responses to financial advisors.
GPT-4 is also helping developers innovate more. For example, language-learning app Duolingo now utilizes GPT-4 to check for cheating, do roleplays with users, and explain answers.
Final Word
It’s worth remembering that AI is a tool like any other, and you can put it to great use as long as you monitor it and check any outputs to ensure they match your current goals and messaging framework. Think of generative AI as a copilot, providing additional services and saving you time, while you remain firmly in the cockpit.
If you need help optimizing your AI startup marketing tools and strategies, book a free 15-minute introductory call with Arch Collective. Our fractional CMOs can oversee your entire marketing efforts and help you achieve sustainable growth.
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