Early OpenAI Investor Vinod Khosla Receives Flak After Saying 100% Of AI Unicorns Are Built On ChatGPT-Maker's API: 'It's Like Saying All Electric Cars Are Tesla'

Venture capitalist Vinod Khosla faced backlash for his statement that all AI unicorns are built on ChatGPT-maker OpenAI’s API.

What Happened: Khosla, an early investor in OpenAI asserted that “100% of AI unicorns are built on OpenAI API.” However, his statement was met with skepticism and disagreement from several users.

Reactions varied, with some users noting that “70% of those future AI unicorns are switching over to Claude,” while others questioned the validity of Khosla’s statement, asking, “Are you telling me Anthropic is an OpenAI wrapper?!” Users also brought up other AI models like Mistral and Meta Platforms Inc.’s Llama.

One user also compared his statement with Elon Musk’s Tesla and electric vehicles segment. They said, “It's like saying all electric cars are Teslas. While OpenAI's API is indeed a powerful tool, saying 100% of AI unicorns are built on it might be a bit of an exaggeration.”

See Also: Huawei Plans To One-Up Apple’s iPhone 16 With ‘Disruptive’ Product Launch, Says It Has ‘Turned Science Fiction To Reality’ After 5 Years Of Research

While it’s true that many AI unicorns leverage generative AI technologies developed by OpenAI, they are not solely built on the OpenAI API. 

Companies like Anthropic and Adept, both of which have achieved unicorn status, are not entirely reliant on OpenAI’s technology.

Moreover, AI unicorns focusing on diverse applications such as big data analytics, autonomous driving, and facial recognition may not directly leverage OpenAI’s API.

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Why It Matters: Khosla’s statement comes in the wake of a “mass exodus” from OpenAI’s AI safety team, with key members resigning due to a loss of faith in the company's leadership, according to an anonymous source.

Meanwhile, last month it was reported that OpenAI’s valuation has been on the rise, reaching $100 billion, with tech giants like Apple Inc. and Nvidia Corp. in talks to invest in the company.

Earlier this week, it was also reported that OpenAI CEO Sam Altman plans to focus on his AI infrastructure project, which could cost “tens of billions of dollars.”

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Disclaimer: This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors.

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