OpenAI, the company known for its popular language model, ChatGPT, has recently made a significant move in the AI space. The company has acquired Global Illumination, a New York startup with expertise in developing creative tools and digital experiences using artificial intelligence. This acquisition marks OpenAI’s first public acquisition in seven years and is expected to further enhance their core products, including ChatGPT.
Although the terms of the deal remain undisclosed, OpenAI expressed its enthusiasm for the impact that Global Illumination will bring to their organization. The entire team from Global Illumination has joined OpenAI and will now contribute their skills and knowledge to the development of OpenAI’s core products.
Global Illumination, founded in 2021 by Thomas Dimson, Taylor Gordon, and Joey Flynn, has an impressive track record. The startup has worked on numerous projects with prominent companies such as Instagram, Facebook, YouTube, Google, Pixar, and Riot Games. Their work has been supported by venture capital firms Paradigm, Benchmark, and Slow.
Thomas Dimson, one of the co-founders of Global Illumination, has an impressive background in improving algorithms. During his time as the director of engineering at Instagram, he played a key role in enhancing the platform’s discovery algorithms. Dimson was responsible for the development of Instagram’s Explore tab, feed and Stories ranking, IGTV, and data engineering teams.
While Global Illumination’s latest creation, Biomes, a web-based Minecraft-like open-source sandbox MMORPG, remains uncertain in terms of its future, OpenAI’s focus may shift away from entertainment-oriented projects.
OpenAI has gained significant backing from major venture capitalists, including Microsoft, who have invested billions in the company. Over the years, OpenAI has established funds and grant programs to support emerging AI companies and organizations. However, now with the acquisition of Global Illumination, OpenAI aims to achieve a commercial breakthrough.
According to reports, OpenAI spent a whopping $540 million last year in developing ChatGPT, including expenses related to talent acquisition from Google. Despite incurring such costs, OpenAI generated $30 million in revenue last year. However, their ambitious CEO, Sam Altman, has set even higher targets, aiming to increase revenue to $200 million this year and a staggering $1 billion next year.
The acquisition of Global Illumination demonstrates OpenAI’s commitment to advancing the capabilities of their AI platforms. As the company continues to evolve, it will be interesting to see how Global Illumination’s expertise will be applied to enhance OpenAI’s offerings. With their significant financial backing and focus on commercial success, OpenAI is poised to make even greater strides in the AI industry in the years to come.
