2025 is only a week away, but OpenAI is already facing a tough year. Here's everything that has gone wrong for the influential company in the last seven days. And a quick look at the frustrations and potential issues facing companies as they enter the new year.
Sam's younger sister Altman sued him.
Annie Altman, sister of company CEO Sam Altman. I have sued the management.Accusing him of sexual harassment The lawsuit, which was filed in the U.S. District Court for the Eastern District of Missouri on Monday, It is claimed that Altman abused his younger sister when she was 3 and he was 12, the lawsuit alleges. “It is a direct and immediate result of Before sexual harassment Annie suffers from “Severe emotional distress mental anguish and depression This is expected to continue in the future.” The suit is seeking damages in excess of $75,000. as well as jury trials.
Allegations of abuse have been circulating on the web for more than a year and are the first of its kind. Main interest In the days after Altman controversially expelled from OpenAI (he would later be reinstated), the litigation has clearly pushed the claim to a broader audience. If it is the case that you must undergo a trial It could prove disastrous for OpenAI from a public relations perspective.
Altman's family Issue a statement Wednesday responded to Annie's lawsuit. “None of these claims are completely false,” the statement said. “This situation has caused great pain to our entire family. It was especially heartbreaking when she refused conventional treatment. and beating family members who were actually trying to help,” the statement shared by Altman on X also stated that Annie was mentally unwell and financially motivated. It stated that even though the family had supported Annie financially for many years, she “continued to demand more money” from them.
Family of former employee accuses company of murder
In the past few weeks The company is also the subject of a conspiracy theory alleging that it murdered a former employee. Suchir Balaji's death on November 26 immediately raised suspicions. Although the San Francisco Medical Examiner's Office The death was dubbed a suicide.– That's because In the months before his death Balaji acted as the organization's whistleblower. claim that the company is violating U.S. copyright law; Just a few weeks before his death, Balaji wrote essay online which he claims shows that the company's approach to content creation does not fall under Definition of United States “fair use”
Although the police said “There is no evidence of foul play” in Balaji's case, but his family claims he was killed by OpenAI and has called on the FBI to investigate his death. In an interview with The San Francisco Standard, the Balaji family convey that They “believe their son was murdered at the orders of OpenAI and other artificial intelligence companies. “It's a $100 billion industry that was turned upside down by his testimony,” said his mother, Purnima Ramarao. “It could be a conglomerate, a conglomerate or a complete nexus.” The medical examiner's autopsy It has not yet been disclosed to the public.
Cybertruck bomber accused of using ChatGPT to plan attack
Moreover, It was recently learned that the man who blew himself up in a Cybertruck outside Trump Tower used ChatGPT to plan the attack. Recently, Las Vegas police released details to reporters at Press conference on Tuesday– “This is the first incident that I am aware of in the United States where ChatGPT was used to help individuals create custom devices,” said Las Vegas Sheriff Kevin McMahill. “It's a worrying time” isn't something OpenAI wants to include in its ad copy. (“Useful for planning terrorist attacks!” just doesn't have a very good point).
political headwinds
OpenAI isn't just facing some bizarre and splashy scandals. But it also faces the political realities of Trump's second presidency with former company founder Elon Musk. (and investors) Become your worst enemyIt clearly helped Trump win. and now enjoys unrivaled access to the power of the federal government. At the same time he was called the America's “co-president” Musk is also waging a legal war against OpenAI that, despite being dubbed “ridiculous” by OpenAI, is showing no signs of going anywhere.
The lawsuit Musk filed last year It accused the company of having betrayed its original mission in favor of a for-profit business model (OpenAI). just announced It will leave it behind. Original and unusual structure to pursue a more traditional business strategy.) Last time we checked on the litigation effort last November, Musk had Expand the lawsuit to include other entities similar to OpenAI, including sponsor Microsoft.
At the same time, Musk was involved in a legal battle. And Musk and his affiliates may be able to manipulate federal policy in ways that could disrupt OpenAI. He could also leverage the soft power of his X media platform to damage the company's reputation. Indeed, Musk and his affiliates He has seized on some of OpenAI's recent arguments and openly spread damaging conspiracy theories. The Standard noted that after Suchir Balaji's death, Musk and others close to him helped spread the theories. Conspiracy related to coder's death: “When Ramarao (Balaji's mother) tweeted about hiring a private investigator, Musk responded, 'This doesn't seem like it.' It's like suicide.”
Economics filled with OpenAI
OpenAI's biggest dilemma may be less political than economic. That's a huge amount of money used to sustain the company. This has left many viewers wondering: Is OpenAI's business model sustainable? Last year the company reported that An estimated $5 billion was lost. While earning significantly less, OpenAI claims its revenue will grow to $11 billion by the end of this year. and will continue to grow exponentially in the coming years.
Indeed, OpenAI claims that revenue will reach $100 billion by 2029, just four years from now. True, as a company, OpenAI is growing quickly. (Revenue rose 1,700 percent over the course of a year, according to the New York Times Already reported) Skeptics, though, still view its predictions as a PR fantasy designed to attract a permanent influx of cash from true believers in the venture capital space. Blogger Ed Zitron, who referred to OpenAI As an “unsustainable, unprofitable, and directionless company” noted that estimates of the company's future earnings potential are “ridiculous,” Zitron firmly represents the skeptic camp, writing:
…the company says it expects to generate $11.6 billion in revenue by 2025 and $100 billion by 2029, which is a statement so egregious that I'm surprised it wouldn't be considered some type of financial crime that would. speak out loud For some context, Microsoft generates approximately $250 billion in revenue per year, Google approximately $300 billion per year, and Apple approximately $400 billion per year. To be abundantly clear, it currently takes OpenAI $2.35 to generate $1 in revenue.
Zitron noted that OpenAI appears to generate the majority of its revenue from ChatGPT subscriptions, which does not appear to make enough money to offset ongoing losses. OpenAI also generates revenue by allowing its algorithmic models to Used in software products If so It does not matter if revenues increase if the cost of providing services remains high. Sure, it could increase the price, but OpenAI has competitors with deep pockets and similar benchmarks.
In short: OpenAI has its work cut out for it. Surrounded by powerful enemies Ongoing litigation and an ongoing scandal that could prove disastrous for the company's brand. The company needs to prove that Advertising media that performs such operations In recent years, that can translate into stronger dollars and cents. At this time, it is not clear how this will be done.