Apple Takes Its 30 Bite From AI Innovation Costing OpenAI Millions

The Story of OpenAI vs. Apple

OpenAI is a leading artificial intelligence research laboratory based in San Francisco, California. Founded in 2015, the lab conducts research into AI that is both safe and beneficial for humanity.

Despite its noble goals, OpenAI has been the recent target of criticism from the tech industry. Apple, in particular, has raised eyebrows with its 30 percent cut from OpenAI's revenue generated from its AI language API, GPT-3.

GPT-3 is a cutting-edge language processing AI engine that can write essays, generate news articles, and write code snippets, among other things. OpenAI has generated a lot of buzz with GPT-3, and many companies are eager to pay to use it.

However, Apple's 30 percent cut from the revenue has caused OpenAI to lose millions of dollars. The company is struggling to maintain its research projects, and its partnership with Apple has left a sour taste in its mouth.

OpenAI's predicament is not unique. Many new-age industries are feeling the squeeze from big tech's monopolistic practices.

For example, Spotify has called out Apple for its 30 percent cut of revenue from all in-app purchases made through the App Store. Epic Games has sued Apple and Google for their app store policies.

The problem is that Apple, as a platform holder, has a monopoly on selling apps through its App Store. Critics argue that the 30 percent cut is too high and unfairly benefits Apple at the expense of developers.

Apple's policy has also been criticized for stifling innovation. Developers are less likely to create innovative apps if they know a significant portion of their revenue will go to a platform holder.

As the tech industry continues to grow and evolve, it is clear that these issues will become more pressing. Consumers and regulators will demand fairer practices from tech companies, and the conversation around big tech will continue to dominate headlines.

Conclusion: The Takeaways

1. Apple's 30 percent cut from OpenAI's revenue highlights the issue of big tech's monopolistic practices.
2. The 30 percent cut has caused OpenAI to lose millions of dollars, and other new-age industries are feeling the squeeze from the same policies.
3. The conversation around big tech and fair practices will continue to dominate headlines as the tech industry grows and evolves.