AI has 2 billion users, but only 3% pay

3 days ago 9
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Artificial intelligence (AI) has reached a tipping point. People person adopted AI astatine an unprecedented scale, with astir 2 cardinal users worldwide, according to an estimation by the US task superior steadfast Menlo Ventures. 

Also: ChatGPT was downloaded 30 cardinal times past period - but its idiosyncratic basal information is much shocking

And yet, precise small wealth is being made, possibly lone $12 cardinal annually, with astir of that fig accounted for by OpenAI

(Disclosure: Ziff Davis, ZDNET's genitor company, filed an April 2025 suit against OpenAI, alleging it infringed Ziff Davis copyrights successful grooming and operating its AI systems.)

The quality betwixt the tremendous fig of users and the tiny magnitude being earned constitutes "one of the largest and fastest-emerging monetization gaps successful caller user tech history," said Menlo Ventures.

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Menlo Ventures

The report, "2025: The authorities of user AI," written by Shawn Carolan, Amy Wu, C.C. Gong, Sam Borja, with unspecified assistance from Anthropic's Claude Sonnet ample connection model, is based connected a survey conducted successful the US successful April for Menlo Ventures by the steadfast Morning Consult, with the information of 5,031 US adults. 

Also: AI usage is stalling retired astatine enactment from deficiency of acquisition and support

The survey recovered that 61% of US adults had utilized AI successful the anterior six months, and "nearly 1 successful 5 trust connected it each day." 

The Menlo Ventures squad extrapolated those US-based figures to reason that arsenic galore arsenic 1.8 cardinal radical person utilized AI tools globally, with arsenic galore arsenic 600 cardinal radical "engaging daily" with AI. The researchers adjusted planetary figures to relationship for worldwide variance successful net entree and property distribution, and variance successful AI adoption rates by region. 

At the aforesaid time, the squad extrapolated fiscal figures based connected media reports suggesting OpenAI is generating $10 cardinal successful gross per year, with "approximately 800 cardinal monthly progressive users" and a ChatGPT Plus subscription terms of $20 per month, implying astir 5% of users wage for premium access.

Overall, lone 3% of radical are paying to usage consumer-grade AI offerings, they noted -- "a strikingly debased conversion rate."

Also: Anthropic launches caller AI diagnostic to physique your ain customizable chatbots

The meaning of that disparity betwixt usage and paying for things is that determination is simply a ample "white space," the authors said. That abstraction is an accidental to physique things that radical volition gravitate toward, and for which they mightiness adjacent pay. 

The authors identified "five categories of regular life" successful which AI is astir used. These categories see "19% of US adults usage AI to assistance constitute emails," portion "another 18% trust connected it to negociate to-do lists."

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Menlo Ventures

Those are comparatively debased rates of adoption, they observed, which suggests to the authors, again, that determination is abstraction for caller products and services. 

"AI is utile everywhere, but there's inactive a agelong mode to spell to mundane adoption, signaling accidental for caller products to person casual usage earlier regular wont is locked in," the study said.

No surprise, there's a higher percent for definite activities among those who are regular AI users. For example, those who "routinely prosecute successful a circumstantial activity" thin to transportation retired the task of "creating images" by 34%.

In fact, the "creative" class of AI use, including representation creation, is becoming a must-have for AI users. These creativity-focused tasks besides contiguous an accidental for caller products and services.

"The originative class is progressively AI-native; it's wherever consumers astir often follow specialized tools and amusement a higher willingness to pay," the study said. 

Also: Why ads are coming to your favourite AI bots and you've lone got yourself to blame

"As it becomes easier to nutrient polished content, sensation -- the quality oculus for what is good, fresh, oregon absorbing -- becomes the cardinal differentiator." 

The study continued: "With caller representation and video models emerging constantly, users attraction little astir which instrumentality they usage and absorption much connected however to control, edit, and refine what AI generates."

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Menlo Ventures

The authors cited immoderate newer tools with AI capabilities, specified arsenic Higgsfield and Suno, that "have seen explosive gross maturation arsenic users willingly wage for representation generation, audio production, and precocious design."

At the different extremity of the spectrum, carnal and intelligence wellness assistance and absorption are among the least-used roles for AI. Among US adults, lone 14% usage AI to probe wellness topics, retired of a full of 71% of respondents who mostly probe wellness topics. 

And retired of the 46% for whom tracking nutrition is simply a regular habit, lone 11% usage AI for the task.

"[T]hese numbers overgarment a stark picture: Physical and intelligence wellness activities amusement immoderate of the lowest AI adoption rates among US adults," the authors wrote. "The barroom is precocious for solutions that grip highly idiosyncratic accusation and interaction connected delicate topics. In this domain, spot is the existent frontier."

Also: 5 reasons I crook to ChatGPT each time - from faster probe to replacing Siri

However, the squad concluded that, erstwhile again, that spread is an opportunity. 

"Companies that harvester AI's information quality with trusted quality attraction teams are champion positioned to gain diligent trust, acceptable security models, and standard high-quality care."

The survey besides included absorbing points connected the property breakdown of AI use. It revealed that Millennials are the apical regular users of AI, much than Gen Z users, which seemed to person amazed the authors.

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Menlo Ventures

"While Gen Z (ages 18-28) leads wide AI adoption arsenic expected, Millennials (ages 29-44) look arsenic powerfulness users, reporting much regular usage -- flipping the emblematic 'younger = higher usage' pattern."

Also, parents crook retired to beryllium "the unexpected powerfulness users," which is "one of the astir surprising" findings, the authors said. 

More than three-quarters (79%) of parents usage AI regularly, versus 54% of non-parents. The probe suggested parents are "turning to AI for mundane help," particularly Millennial parents, who are "in their premier moving years." 

Also: Could this beryllium the crushed you cancel your ChatGPT subscription?

The apical tasks completed by parents utilizing AI are "learning/understanding caller topics" (28%), "taking and organizing notes" (26%), and "managing childcare" (34%).

Overall, usage rises, connected average, arsenic parents' children turn up, which is reflective of expanding complexity successful parents' lives, yet different country of opportunity, the authors concluded.

"The adoption patterns we spot among parents amusement that user AI adoption follows life-stage complexity much than conscionable property oregon income," they wrote.

"This points to an adoption curve shaped by high-friction 'life moments' that savvy companies tin people arsenic wedges to physique lasting habits."

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