Tepid Revenue at Cohere Shows OpenAI Competitors Face Uphill Battle

The conversational artificial intelligence boom sparked by ChatGPT boosted funding and valuations for startups in the field, but few of them are making much money.

In the latest example, Cohere, one of the best-known startup competitors to OpenAI, which has raised $445 million from investors, was generating about $13 million in annualized revenue at the end of last year, according to a person who has viewed the company’s fundraising pitch to potential investors. That implies it generated just over $1 million in revenue that month.