In 2005, an online video-sharing platform exploded onto the scene. For free, you could upload videos for the rest of the world to see. Conversely, also for free, you could watch videos that others had posted. Day by day, as more users jumped onto the bandwagon and more videos were posted, usage of the platform increased exponentially. Just a year later, in 2006, Google bought YouTube from the site’s founders, Chad Hurley, Steve Chen, and Jawed Karim. The reason for the founders to reach this deal was simple: they needed capital to grow their business and Google had that capital. For Google, the main appeal was that the business had a lot of promise and added a lot of value to the global audience of the global tech giant. The deal ended up getting settled at a price tag of 1.65 billion USD. Indeed a big dollar amount by any measure.
In today’s world, we can see ChatGPT creating waves of similar, if not larger, sizes as YouTube did more than a decade and a half ago. Provided you have a reliable internet connection such as that provided by Xfinity, you can use ChatGPT for free. And by use, we mean you can have it write articles, code Excel Macros, and perform calculations among many other things. Its utility is so high that more than 1 million people decided to check it out within the first five days of its launch! For this reason, we can tell you with great confidence that the tool is very much in the eyes of the mergers and acquisitions teams of large corporations.
If you are the type of person who likes to project what is going to happen in the business world for stock investment purposes and/or personal interests, it makes sense for you to want to know which company will end up buying the platform. As alluded to in the topic, we will be doing exactly that in this article. What makes our job easier is that it has to be a company in the tech field considering ChatGPT is a technological asset and that the company has to have reserves of tens of billions of dollars (yes, that is how much ChatGPT is going to cost considering how popular it already is and going to be!) So, without further ado, let us start considering the contenders.
The reason we have put Microsoft at the top is that there is already news circling around about a potential partnership between ChatGPT and the tech giant. Microsoft was founded in 1975 by, now centi-billionaire, Bill Gates. This makes it the oldest company that we will be discussing in this article. Over the many years that it has been functioning, it has accumulated assets of a total dollar amount of around 365 billion. This value clearly suggests that buying ChatGPT is clearly within the financial constraints of the company. If Microsoft does buy ChatGPT, you can expect Microsoft 365 apps like Outlook and Excel as well as Microsoft’s search engine –Bing – to be completely transformed. The chances of a ChatGPT partnership with Microsoft are substantial owing to the fact that Satya Nadella, Microsoft’s current chief executive officer (CEO), is known for having taken big decisions on the behalf of the company before.
The second contender on the list is Alphabet. Even though Alphabet, previously known as Google, was created much later than Microsoft near the turn of the previous century, it has almost caught up to the total asset figure of the latter by having a total asset count of approximately 358 billion. Although there is not yet substantial word of Alphabet buying ChatGPT, it is very much possible. The reason we say this is because ChatGPT could potentially end up being a large competitor for Alphabet’s search engine “Google” which currently dominates the market (92% of all searches are done on Google). In order to quell the competition, Google may very well end up buying ChatGPT.
One may raise the argument that there are other companies in the tech world like Amazon and Meta that have the financial ability to buy ChatGPT. However, we believe that these companies are less likely to find the tool as valuable as the two companies above do. Thus, they would most probably not bid high enough to end up winning the tool over.