Myth: #AI Wrappers Can’t Make Money
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Introduction
Everybody thinks that AI wrappers—apps that take generic large language models to customize them for specific use cases or audiences—won't make much money. They believe these apps will get copied by model makers and clones, causing their profit margins to disappear. However, they're all wrong.
Research from our course shows that these AI wrappers are actually quite profitable and are growing significantly. Typically, they see at least a 20% profit margin and a two to three times year-over-year growth.
This makes sense when you consider that over 90% of the world's population doesn't use ChatGPT or anything similar. Making AI-generated content accessible to this market is a wide-open opportunity, and the few companies targeting this are making a substantial profit.
Keywords
- AI Wrappers
- Large Language Models
- Customization
- Profit Margins
- Year-over-Year Growth
- Market Accessibility
- ChatGPT
FAQ
Q1: What are AI wrappers?
A1: AI wrappers are applications that adapt generic large language models for specific use cases or target audiences.
Q2: Why do people think AI wrappers won't be profitable?
A2: Many believe that AI wrappers will get copied by model makers and clones, which would reduce their profit margins.
Q3: How profitable are AI wrappers according to research?
A3: Research shows that AI wrappers generally have at least a 20% profit margin and experience two to three times year-over-year growth.
Q4: Why is the market for AI wrappers wide open?
A4: Over 90% of the world's population doesn't currently use ChatGPT or similar services, making it a largely untapped market.
Q5: Are there companies already making a profit in this space?
A5: Yes, a few companies targeting this market are doing very well and seeing substantial profits.