OpenAI and Anthropic generate 10 times the revenue of all Chinese AI models combined

• Rhodium Group estimates that the combined annual recurring revenue (ARR) of all Chinese AI models is only about 10% of the revenue generated by OpenAI and Anthropic combined.
• According to the report, OpenAI has an ARR of approximately $40 billion, while Anthropic has about $65 billion.
• In China, ByteDance leads with an ARR of approximately $4 billion, followed by Alibaba at $2.4 billion.
• Z.ai has just raised its year-end ARR forecast to $3 billion, up from its previous forecast of $2.4 billion, but it remains significantly below its U.S. competitors.
• Moonshot has an ARR of approximately $1 billion, MiniMax about $800 million, and DeepSeek about $500 million.
• Rhodium notes that the valuations of some Chinese AI companies are very high relative to their revenue, with Moonshot valued at around 50 times revenue and DeepSeek at around 163 times.
• By comparison, OpenAI is estimated to have a valuation of approximately 34 times its revenue, while Anthropic is at around 21 times.
• The report argues that China’s open-source models are helping AI spread rapidly but making it difficult for developers to generate revenue because users can deploy the models on their own infrastructure.
• Rhodium warns that the financial gap will make it difficult for China’s leading AI labs to scale sustainably and leave them heavily dependent on capital markets.
• The report also estimates that more than 60% of equity investment in AI chips and AI servers in China comes from state-affiliated institutions.

📌 The gap between the U.S. and China in AI commercialization remains substantial, despite the rapid development and widespread use of Chinese AI models. According to Rhodium Group, OpenAI and Anthropic have a combined ARR of approximately $105 billion, far exceeding the combined revenue of Chinese AI companies. The report also highlights the challenge facing Chinese companies in converting their large user bases into revenue, as open-source models and the ability to secure long-term funding remain key factors determining competitiveness.