Dive Brief:
- OpenAI is lowering the price of its ChatGPT API, resulting in costs ten times cheaper than the existing GPT-3.5 models, the company announced Wednesday. The ChatGPT API will cost $0.002 per 1,000 tokens, which are the sequences of messages with metadata that the model consumes.
- OpenAI is offering dedicated instances for developers to pay for access to the compute infrastructure, which runs on Azure. Developers running more than 450 million tokens per day and those looking to optimize workloads against hardware performance would most likely benefit from dedicated instances, OpenAI said in a blog post.
- Enterprise data submitted through the API will no longer be used for model training or other service improvements unless organizations decide to opt-in, the company said. OpenAI implemented a default 30-day data retention policy with options for shorter retention windows for API users.
Dive Insight:
Splashy examples of ChatGPT at work are cropping up and organizations want in on the fun. But there's a big barrier to entry: cost.
In December, OpenAI CEO Sam Altman said compute costs for the model were “eye-watering,” as the company looked to turn its hyped technology into revenue. But they aren’t the only ones trying to solve the problem.
AWS and Hugging Face announced a partnership aimed at making it easier and cheaper for organizations and IT teams to deploy and fine-tune large language models for generative AI applications last week.
OpenAI is shifting the cost structure to make its ChatGPT engine more accessible to enterprises. OpenAI’s speech-to-text Whisper model was also made available via API, priced at $0.006 per minute, rounded up to the nearest second.
Early users of ChatGPT and Whisper APIs include Snapchat, Quizlet, Instacart, Shopify and language learning app Speak.
Quizlet is introducing AI tutor Q-Chat, which generates questions based on relevant study materials. Quizlet has worked with OpenAI for the past three years, incorporating its technology into vocabulary learning and practice tests.
Instacart uses ChatGPT alongside its AI and product data to generate open-ended shopping goals for customers, such as, “How do I make great fish tacos?” Instacart plans to launch “Ask Instacart” later this year, OpenAI said.
Shopify incorporated ChatGPT API into its consumer app Shop to power a shopping assistant that makes personalized recommendations for the app’s more than 100 million users.
