The adoption of ChatGPT is skyrocketing in India, although monetization may be lagging behind.
ChatGPT is experiencing rapid growth in India, according to data from OpenAI. However, third-party information indicates that monetization may be lagging.
U.S. technology companies have been leveraging India’s vast and growing internet user base for years to drive their growth. OpenAI, the company behind ChatGPT, is no exception. Although this artificial intelligence lab claims that India is among its fastest-growing ChatGPT markets, third-party data suggests that the company may face challenges in converting that growth into revenue.
According to analytics firm SensorTower, users in India have spent just $8 million on ChatGPT subscriptions through in-app purchases since 2023. This figure does not include purchases made through the ChatGPT web app. However, it represents only a small fraction of the $330 million that users in the U.S. are estimated to have spent on the same platform.
A likely factor for this discrepancy is the lack of locally adapted pricing in India. The most affordable ChatGPT plan in the country costs $20 (over 1,700 Indian rupees) per month, which is considered high for a digital subscription in the Indian context. Although OpenAI did not provide specific details about its growth in India, it redirected attention to a recent post by COO Brad Lightcap on X, where he stated that India is the fastest-growing market for ChatGPT.
Despite the currently modest revenue, India may become a significant growth engine for OpenAI. CEO Sam Altman has expressed his aspiration for OpenAI to evolve into a platform with billions of users. Tapping into access to over 950 million internet users in India could be a crucial step toward achieving that goal.
Additionally, OpenAI is reportedly seeking a partnership with Reliance Jio, one of India’s major mobile operators, to expand ChatGPT’s reach. Meanwhile, the app continues to grow organically in the country. According to data from the app tracking platform Appfigures, over 20% of ChatGPT's Android app downloads this year have been in India. Part of this growth has been driven by the recently improved image generator in ChatGPT, which went viral due to its ability to create stylized Ghibli art.