Microsoft and OpenAI put a price tag on achieving AGI: report

• OpenAI and Microsoft have an internal definition for AGI, according to The Information.
• The two companies agreed to define AGI as a system capable of generating $100 billion in profits.
• OpenAI says on its website that AGI refers to AI systems that are smarter than humans.

OpenAI and Microsoft have a definition for artificial general intelligence, and it depends on how much money the new technology can make.

The two companies signed an agreement in 2023 that defined AGI as a system capable of generating $100 billion in profits, The Information reported Thursday, citing documents obtained.

However, OpenAI has publicly defined AGI on its website as “a highly autonomous system that outperforms humans in the most economically valuable work.”

The ChatGPT maker added that its nonprofit board will decide whether AGI has been achieved.

“Such a system is excluded from IP licenses and other commercial terms with Microsoft that apply only to pre-AGI technology,” the company wrote on its website.

OpenAI and Microsoft did not respond to Business Insider’s request for comment.

Based on the agreement with Microsoft, OpenAI still has a long way to go before it can achieve AGI.

The company expects losses of about $44 billion between 2023 and 2028 and could reach $100 billion in revenue in 2029, The Information reported in October, citing financial documents it obtained.

“I expect we will get to AGI sooner than most people in the world think, and it will be much less important,” OpenAI CEO Sam Altman said during an interview with Andrew Ross Sorkin at the New York Times DealBook Summit on December 4th.

In November, Bloomberg reported that OpenAI was in preliminary discussions with the California attorney general’s office about becoming a for-profit company.

OpenAI was originally founded in 2015 as a non-profit research organization. The company closed a $6.6 billion funding round in October, valued at $157 billion.