OpenAI Declares Code Red As Altman Prioritizes ChatGPT Upgrades

Benzinga

OpenAI issued a companywide “code red” to improve ChatGPT amid rising pressure from Google’s Gemini and Anthropic’s growing enterprise traction. Altman said the company must boost personalization, speed, and reliability as investors worry about costs and profitability. A new reasoning model set for next week is expected to outperform Google’s latest Gemini release.

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00:00It's Benzinga bringing Wall Street to Main Street.

00:02OpenAI declared a company-wide Code Red to improve ChatGPT's quality and shifted resources

00:08away from other projects, according to an internal memo reviewed by the Wall Street Journal.

00:13Altman told employees the company must boost personalization, speed, reliability,

00:18and its ability to answer more questions. Competition is tightening after Google's

00:22latest Gemini model outperformed OpenAI on benchmark tests and helped drive monthly

00:27active users from $450 million in July to $650 million in October.

00:33Anthropic continues gaining traction with business customers.

00:36OpenAI is not profitable and must raise funding frequently,

00:40and its heavy data center commitments have raised investor concerns about its long-term revenue path.

00:45Altman said a new reasoning model set for release next week is ahead of Google's latest Gemini model.

00:50For all things money, visit Benzinga.com.

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