(Reuters) -OpenAI said on Monday that its annualized revenue run rate surged to $10 billion as of June, positioning the company to hit its full-year target amid booming AI adoption.

Its projected annual revenue figure based on current revenue data, which was about $5.5 billion in December 2024, has demonstrated strong growth as the adoption and use of its popular ChatGPT artificial-intelligence models continue to rise.

This means OpenAI is on track to achieve its revenue target of $12.7 billion in 2025, which it had shared with investors earlier. 

The $10 billion figure excludes licensing revenue from OpenAI-backer Microsoft ( MSFT ) and large one-time deals, an OpenAI spokesperson confirmed. The details were first reported by CNBC.

Considering the startup lost about $5 billion last year, OpenAI's revenue milestone shows how far ahead the company is in revenue scale compared to its competitors, which are also benefiting from growing AI adoption.

Anthropic recently crossed $3 billion in annualized revenue on booming demand from code-gen startups using its models.  

OpenAI said in March it would raise up to $40 billion in a new funding round led by SoftBank Group, at a $300 billion valuation.

In more than two years since it rolled out its ChatGPT chatbot, the company has introduced a bevy of subscription offerings for consumers as well as businesses.

OpenAI had 500 million weekly active users as of the end of this March.