AI Chatbot Wars: Revenue Growth Slows for ChatGPT as Competitor Ask AI Takes the Lead
Do consumers really know the difference?
It seems like the battle for supremacy in the mobile AI app market is heating up, with ChatGPT and its competitor Ask AI vying for the top spot.
Let's start with the good news for ChatGPT.
The AI chatbot has been experiencing tremendous success, with record-breaking numbers in terms of app installs and revenue. In September alone, ChatGPT garnered a whopping 15.6 million downloads and raked in nearly $4.6 million in gross revenue across its iOS and Android apps worldwide. That's truly impressive!
However, there's a slight twist in the tale. While ChatGPT's revenue growth has been soaring over the past couple of months, with increases of 31% in July and 39% in August, it has now started to slow down. In September, the growth rate dropped to 20%. This could be an indication that ChatGPT is reaching a saturation point in terms of the number of mobile users willing to pay for its premium subscription service, ChatGPT+.
Speaking of the subscription service, ChatGPT+ has been performing well, generating substantial revenue. In June, it brought in $2.1 million, which increased to $2.74 million in July and $3.81 million in August. And now, in September, it reached a new record of $4.58 million.
However, despite its success, ChatGPT is not the highest-grossing AI app. That title goes to its competitor, Ask AI, which has been capitalizing on heavy ad spending. Ask AI's revenue peaked at $6.55 million in August, although it dipped slightly to $5.51 million in September. When it comes to net revenue, ChatGPT made around $3.2 million in September after Apple and Google took their share of the in-app purchase revenues.
(Apple takes 30% of all subscription fees from apps who make over $1 Million in the app store. So they win no matter what.)
In terms of app installs, ChatGPT reached an impressive milestone of 52.2 million lifetime installs, with 15.6 million of those happening in September. Google Play accounted for 9 million downloads, while the App Store contributed 6.6 million. Interestingly, the App Store was responsible for driving $3 million of the total in-app purchases last month. The United States takes the crown as the largest market for the AI chatbot app, accounting for a whopping 60% of ChatGPT's revenues.
In conclusion, while ChatGPT continues to make waves in the AI chatbot industry, its revenue growth has started to slow down. On the other hand, Ask AI is giving it a run for its money with higher revenues, thanks to its aggressive ad spending. It will be fascinating to see how these two competitors navigate the ever-evolving world of AI chatbots in the coming months.
Will the future support solutions that allow access to multiple AI platforms and bots, like Poe (from Quora)?
Poe AI
Poe has a native Mac desktop app and iOS app.
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That's all for now. Stay tuned for more exciting updates in the world of AI!