User base of 100M offers paths to sustainable competitive advantage
OpenAI doesn’t have a model moat, but it has a 100 million users moat. ChatGPT currently has over 100 million users, which creates opportunities to build sustainable advantages. There’s much that can be done to create lasting competitive protection: User Experience, Data Access, Workflow Integration, LLM governance, and regulatory protection. While the business model should give us pause, the user base provides a foundation for building real defensibility. The moat comes from how you serve and retain those users, not from the underlying technology itself.
— OpenAI Isn’t Going Bankrupt, But It Has A Business Model Problem · Forbes