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OpenAI’s Annualized Revenue Doubles to $10 Billion Amid AI Boom

OpenAI announced on Monday that its annualized revenue run rate surged to $10 billion as of June 2025, nearly doubling from about $5.5 billion in December 2024. This strong growth positions the company on track to meet its previously shared full-year revenue target of $12.7 billion.

The reported figure excludes licensing revenue from major backer Microsoft and large one-time deals, underscoring the core strength of OpenAI’s subscription and usage-based income from its AI models, including the widely popular ChatGPT.

Despite posting a loss of roughly $5 billion last year, OpenAI’s rapid revenue scale sets it well ahead of competitors. For comparison, Anthropic, another leading AI firm, recently surpassed $3 billion in annualized revenue fueled by demand from startups using its code-generation models.

OpenAI is also preparing for a major funding round of up to $40 billion led by SoftBank Group, valuing the company at $300 billion. Since launching ChatGPT over two years ago, OpenAI has expanded its offerings to include a variety of subscription plans for both consumers and businesses.

As of March 2025, OpenAI reported 500 million weekly active users, reflecting the broad and growing adoption of its artificial intelligence technology worldwide.

U.S. State Department Employs AI Chatbot ‘StateChat’ to Aid Selection of Promotion Panels

The U.S. State Department will use an AI chatbot named StateChat to assist in selecting members for its Foreign Service Selection Boards, which conduct annual reviews for promotions and personnel moves, according to a recently issued internal cable reviewed by Reuters.

StateChat, developed in-house with technology from Palantir and Microsoft, will help identify foreign service officers eligible to serve on these critical evaluation panels. However, the department clarified that the actual promotion evaluations will not be performed by AI.

The boards operate under the 1980 Foreign Service Act and are responsible for recommending career advancement of diplomats and staff, with legal mandates to ensure significant representation of women and minority groups.

StateChat has been in use since last year for tasks such as transcribing notes, drafting emails, and analyzing diplomatic communications. The cable disclosed for the first time that it would now also be applied to “perform unbiased selection” for panel membership, based on employees’ skill codes and grades. Candidates will then be screened for disciplinary or security concerns before finalizing the boards. The cable did not specifically mention measures to ensure gender or minority group representation.

The American Foreign Service Association, representing State Department employees, said it is seeking clarification on how AI-assisted selection will align with diversity and legal requirements.

The move comes amid broader expanded AI adoption in government under President Donald Trump’s administration, despite ongoing political criticism of diversity, equity, and inclusion (DEI) efforts within federal agencies.

Palantir and Microsoft have not commented on the deployment.

IonQ to Acquire Oxford Ionics for $1.08 Billion to Boost Quantum Computing Research

U.S.-based quantum computing company IonQ announced on Monday that it will acquire British peer Oxford Ionics for $1.08 billion in a cash-and-stock deal, aiming to strengthen its expertise in the rapidly growing quantum technology sector. IonQ’s shares rose nearly 4% in premarket trading following the announcement, with the company’s market valuation standing at $10.15 billion as of the last close.

Quantum computing, which leverages quantum bits or qubits to perform complex calculations faster and more efficiently than classical computers, has attracted significant investments from tech giants like Microsoft, Google, and IBM. Oxford Ionics specializes in innovative methods to control qubits, a critical focus area in advancing quantum computer performance.

The founders of Oxford Ionics, Chris Balance and Tom Harty, who are also researchers, will continue to work with IonQ after the acquisition closes. The transaction price per share will be set between $30.22 and $50.37 based on IonQ’s stock price in the 20 days preceding deal closure, expected within this year.

Although revenues remain modest for quantum computing companies including IonQ and competitor Rigetti, the technology is viewed as vital for national security and has promising applications in fields such as medical research and cybersecurity.

IonQ has actively expanded its capabilities through acquisitions, including last year’s purchase of Boston startup Lightsynq, which focuses on quantum memory. Meanwhile, Nvidia’s CEO Jensen Huang announced plans to open a quantum computing research lab, signaling growing industry momentum, despite some skepticism about when the technology will be practically applicable.