Sam Altman Declares ‘Code Red’ for OpenAI Amidst ChatGPT’s Growing Competition

Sam Altman has issued a “code red” for OpenAI to enhance ChatGPT amid strong competition from other chatbots.

In a recent report from the technology news site Information, the CEO of the San Francisco-based startup informed staff in an internal memo: “We are at a critical time for ChatGPT.”

OpenAI is feeling the pressure from the success of Gemini 3, Google’s latest AI model, and is allocating additional resources to improve ChatGPT.

Last month, Altman informed employees that the launch of Gemini 3 had outperformed competitors. According to various benchmarks, this could result in “temporary economic headwinds” for companies. He added, “I expect the global atmosphere to remain stormy for some time.”

While OpenAI’s flagship product boasts 800 million weekly users, Google benefits from a profitable search business along with vast data and financial resources for its AI initiatives.




Sam Altman. Photo: Jose Luis Magaña/AP

Marc Benioff, CEO of the $220bn (£166bn) software company Salesforce, stated last month that he plans to switch to Gemini 3 and “never look back” after testing Google’s newest AI release.

“I’ve been using ChatGPT every day for three years. I just spent two hours on Gemini 3. I’m not going back. The leap is insane. Reasoning, speed, images, video… everything is clearer and faster. I feel like the world has changed again,” he remarked on X.

OpenAI is also scaling back its advertising efforts on ChatGPT as it prioritizes improvements to the chatbot, which recently celebrated its third anniversary.

Nick Turley, the head of ChatGPT, marked the anniversary with a post on X, committing to further innovations for the product.

“Our focus now is to further enhance ChatGPT’s capabilities, making it more intuitive and personal while continuing to grow and expand access worldwide. Thank you for an incredible three years. We have much work ahead!”

Despite not having the same cash flow support as rivals like Google, Meta, and Amazon, who fund competitor Anthropic, OpenAI has garnered substantial investments from firms like SoftBank Investment Group and Microsoft. At its latest valuation, OpenAI reached $500 billion, a significant increase from $157 billion last October.

OpenAI is currently operating at a loss but anticipates annual revenue to surpass $20 billion by year’s end, with Altman projecting that it will “grow to hundreds of billions.” The startup plans to allocate $1.4 trillion in data center costs over the next eight years to develop and maintain AI systems, aiming for rapid revenue growth.

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“Considering the trends in AI usage and demand, we believe the risk of insufficient computing power at OpenAI is more significant and likely than the risk of excess computing power,” Altman stated last month.

Apple has also reacted to rising competitive pressure in the sector by appointing a new vice president of AI. John Gianandrea will be succeeded by Microsoft executive Amar Subramanya.

The company has been slow to integrate AI features into its products, while competitors like Samsung have been quicker to upgrade their devices with AI capabilities.

Subramanya comes to Apple from Microsoft, where he last served as vice president of AI. He previously spent 16 years at Google, including as head of engineering for the Gemini assistant.

Earlier this year, Apple announced that enhancements to its voice assistant Siri would be postponed until 2026.

Source: www.theguardian.com

Sam Altman: The Man Who Took Copyright Rights—Can He Transform the Future by Revisiting the Past?

TTake a look at Sam Altman. Seriously, check Google Images, and you’ll notice an abundance of photos featuring the endearing Lost Puppy from Silicon Valley, showcasing the OpenAI chief sporting a clever grin. Yet, I suggest hiding the lower half of his face in these images. Suddenly, Sam’s expression takes on the haunting gaze of the boyfriend of a missing woman, pleading for her return: “Please come home, Sheila. We’re worried about you, and we just want you back.”

Don’t be alarmed if the humor feels misplaced, crude, or somewhat manipulative. I rely on OpenAI’s guiding principle: reciprocity. Content creators must formalize and painstakingly select subjects for use in generated content. outside to be utilized in any manner users see fit. I haven’t received any word from Sam, leading me to believe I know precisely where he is because I placed Sheila there. After all, he seems to fit the archetype that often accompanies the term “visibly.”

For Sam, the past fortnight has revolved around the debut of the AI video generator Sora 2 (a remarkable enhancement from the Sora of just ten months prior) and his entanglement in issues surrounding copyrighted content. Additionally, there were announcements about further interconnected transactions involving OpenAI and chip manufacturers like: Nvidia and AMD. This has led to the OpenAI frenzy, with total transaction volume surpassing $1 trillion just this year. While you can enjoy videos showcasing meticulously designed characters manipulated into digital puppets by uncreative, bigoted individuals, it also means that with OpenAI, you could lose your home in a disastrous financial collapse if the bubble bursts.

I don’t wish to offend the creators of Sora. I’ve strolled through art galleries and realized that if I were to deface an artwork with a ridiculous doodle, it would surprisingly add value; hence, if I didn’t want it, I wouldn’t have exposed it to the public. Moreover, none of the tech giants seem to lead a civilized life, so they probably cannot fathom any creative value worth preserving from being tarnished for profit. If you’ve followed Sam’s frequent reading lists, you’ll see it’s akin to the “Business Philosophy” section of a mediocre airport bookstore. This week, they mainly wanted to convey that Sora 2 is about being cool and fun. “Seeing your feed filled with memes about yourself isn’t as bizarre as you might think,” Sam assured us. So all is well! Though, I think it’s beneficial to note that while you’re inundated with simulated revenge content in a modern-day version of Byzantium, you’re also one of the most influential individuals globally profiting immensely from it. confuse “guardrail.”


I’ve heard people propose that OpenAI’s motto should be “It’s better to ask for forgiveness than permission,” but that misplaces the priority. Its real motto appears to be, “We do what we wish, and you simply deal with it.” Consider Altman’s recent political trajectory. “For those familiar with German history in the 1930s” Sam forewarned back in 2016, reflecting on Trump’s actions. It seems he has reconciled this concern in time to join. Donald Trump’s second inauguration. Perhaps, to extend his well-crafted analogy, it’s due to him being among the entrepreneurs welcomed into the Prime Minister’s office to claim their portion of the gains. “Thank you for being such a pro-business, pro-innovation president,” Sam effused to Trump at a recent White House dinner for tech executives. “It’s a refreshing change.” Unsurprisingly, the Trump administration has chosen to evade AI regulation entirely.

On the flip side, recall what Sam and his skeptical comrades stated earlier this year when it was suggested that the Chinese AI chatbot DeepSeek might have leveraged some of OpenAI’s work. His organization issued a concerned statement, asserting, “We are aware of and investigating indications that DeepSeek may have improperly extracted our models. We will provide further details as we learn more.” “We are taking proactive and assertive measures to safeguard our technology.” Interestingly, OpenAI appears to be the only entity on earth with the ability to combat AI theft.

This week, Hollywood talent agencies took the initiative to coax some form of temporary silence from Altman. I posted flannel—if not in riches, then certainly in striving to establish a “new kind of engagement” with those he has openly referred to as “rights holders.” Many of us remember just a short while ago, when rights holders held all the power. Those who possess rights. In other words, the hint lies within the terminology. However, Sam embodies the post-light era. The question arises: if he is bestowing creative rights, can we genuinely believe he’s not also conferring other types of rights?

OpenAI desires what all nurturing platforms ultimately aim for: users to remain within their realm indefinitely. It is clearly poised to become the new default homepage of the internet, much like Meta once was. Are childhood privacy catastrophes, election manipulation controversies, and child exploitation crises not far off?

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Because, incredibly, we have already traversed this life cycle. But I suppose we must revisit it, right? Or more accurately, since Sam’s company is advancing at an unprecedented pace, we have already done it again. Initially, we admire the enigmatic engineer Pied Piper as a brilliant and unconventional altruist, only to later uncover that he is not as he appears and that his technology poses greater risks than we comprehended, leading to our failure to regulate it, rendering us the victims. In many ways, this mirrors a poor AI reinterpretation of a film we’ve already witnessed. If Altman’s model can learn, why can’t we?

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Source: www.theguardian.com

Elon Musk Takes Legal Action Against Apple Over Open Ally, Sparking Feud with Sam Altman

Elon Musk has threatened to take legal action against Apple on behalf of the AI startup Xai, alleging that the iPhone manufacturer is favoring OpenAI and breaching antitrust laws regarding App Store rankings. This statement drew a sharp response from OpenAI CEO Sam Altman and ignited a feud between the two former business associates at X.

“Apple is operating in a manner that prevents non-OpenAI AI companies from achieving the top position on the App Store. This clearly violates antitrust regulations. Xai is prepared to take swift legal measures,” Musk declared in a post on X.

In another post that day, he stated:

Currently, OpenAI’s ChatGPT occupies the top spot in the “Top Free Apps” category of the US App Store, while Xai’s Grok sits in fifth place. Apple has partnered with OpenAI to integrate ChatGPT across iPhone, iPad, and Mac. Neither Apple nor Xai provided any comments.

Altman replied to Musk on X, saying, “This is an unexpected claim considering we’ve heard Elon is attempting to manipulate X for his own benefit and to undermine his competitors, including those he dislikes.” Reports indicate that Musk has tweaked X’s algorithm to favor his own posts.

Altman and Musk co-founded OpenAI in 2015, but Musk departed the startup in 2018 and withdrew his funding after proposing they take control. Musk has since filed two times for a planned shift to commercial entities, alleging “Shakespeare’s proportional deception ceit.” Altman has characterized Musk as a bitter and envious ex-partner, resentful of the company’s achievements post-departure.

Musk responded to Altman’s tweet, stating, “You got 3 million views for dishonest posts. You’re a liar; despite having 50 times your followers, my engagement has far exceeded yours!”

Altman retorted to Musk several times, initially calling the lack of views a “skill issue” or “bot-related” before posing legal questions.

Users on X highlighted through the Community Notes feature that several apps, aside from OpenAI, have claimed top positions on the App Store this year.

For instance, the Chinese AI app Deepseek reached the No. 1 position in January, while Perplexity ranked first in the App Store in India in July.

One user inquired about Grok, X’s native AI. The chatbot replied: “Based on confirmed evidence, Sam Altman is correct.”

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Musk’s remarks come as regulators and competitors heighten their scrutiny of Apple’s App Store dominance.

Earlier this year, an EU antitrust regulator ordered Apple to pay a fine of 500 million euros ($581.15 million).

In early 2024, the U.S. Department of Justice filed an antitrust lawsuit against Apple, accusing the iPhone manufacturer of establishing and maintaining “broad, persistent, and illegal” monopolies in the smartphone market.

Source: www.theguardian.com

OpenAI CEO Sam Altman Announces Federal Reserve Confab Will Incorporate AI

On his recent visit to Washington, OpenAI CEO Sam Altman articulated a stark vision of a future dominated by AI, where entire job sectors could vanish. The President has embraced ChatGPT’s guidance, leveraging artificial intelligence as a potential tool for mass disruption.

Addressing the Capital Framework meeting during a substantial gathering of banking executives at the Federal Reserve, Altman asserted that advancements in AI will lead to the complete eradication of certain jobs.

“I believe some roles will be entirely obsolete,” he stated. “That’s the category I’m referring to. When you reach out for customer support, you’re interacting with AI. That’s acceptable.”


During the discussion, Altman conveyed his thoughts to Michelle Bowman, the Federal Reserve’s Vice Chairman for Oversight, saying, “As the founder of OpenAI, I have already seen a significant transformation in customer service.”

He shifted the conversation to healthcare, proposing that the diagnostic abilities of AI surpass those of human doctors, although he cautioned against considering AI as the sole provider of medical care.

“Today, ChatGPT can outperform many doctors in diagnostics. However, patients still seek out physicians. I may not be the only one concerned, but I wouldn’t want to risk my health to an AI without a human doctor involved,” he remarked.

Altman’s visit coincided with the Trump administration’s unveiling of the “AI Action Plan,” aimed at clarifying and easing various regulations while advocating for more data centers. His recent engagement aligns with a federal government under Donald Trump that has embraced an accelerated approach, especially in contrast to the past few years. Despite the technological shifts over the years, under the Biden administration, OpenAI and its competitors have called for more robust AI regulations, while discussions under Trump focus on outpacing China.

In an informal discussion, he expressed that one of his main concerns is the rapidly advancing destructive potential of AI, suggesting that it could be weaponized to target the U.S. financial system. Despite being impressed by developments in voice cloning, Altman cautioned the audience regarding the same advancements that could enable sophisticated fraud and identity theft.

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OpenAI and Altman are clearly making significant strides in Washington, ready to engage in the discourse where Elon Musk once held prominence. With plans to establish his company’s first office in the capital next year, Altman appeared before the Senate Commerce Committee for his inaugural Congressional testimony since his high-profile appearance that catapulted him onto the global stage in May 2023.

Source: www.theguardian.com

Sexual Abuse Allegations Against OpenAI CEO Sam Altman Made by Sister Lead to Lawsuit

The sister of OpenAI CEO Sam Altman has filed a lawsuit alleging that he sexually abused her on a regular basis over several years as a child.

The lawsuit, filed Jan. 6 in the U.S. District Court for the Eastern District of Missouri, alleges the abuse began when Ann Altman was 3 years old and Sam Altman was 12. The complaint alleges that the last abuse occurred after he was an adult, but his sister, known as Annie, was still a child.

The CEO of ChatGPT Developers posted: Joint statement on X”, he signed alongside his mother Connie and brothers Max and Jack, denying the allegations and calling them “totally false.”‘

“Our family loves Annie and is extremely concerned about her health,” the statement said. “Caring for family members facing mental health challenges is incredibly difficult.”

It added: “Annie has made deeply hurtful and completely untrue allegations about our family, especially Sam. This situation has caused immeasurable pain to our entire family.”

Ann Altman previously made similar allegations against her brother on social media platforms.

In a court filing, her lawyer said she had experienced mental health issues as a result of the alleged abuse. The lawsuit seeks a jury trial and more than $75,000 (£60,000) in damages and legal fees.

A statement from the family said Anne Altman had made “deeply hurtful and completely false allegations” about the family and accused them of demanding more money.

He added that they offered her “monthly financial assistance” and “attempted to receive medical assistance,” but she “refused conventional treatment.”

The family said they had previously decided not to publicly respond to the allegations, but chose to do so following her decision to take legal action.

Sam Altman, 39, is one of the most prominent leaders in technology and the co-founder of OpenAI, best known for ChatGPT, an artificial intelligence (AI) chatbot launched in 2022.

The billionaire temporarily stepped down as chief executive in November 2023 after being ousted from the company’s board for “failing to consistently communicate openly.” Although nearly all employees threatened to resign, he returned to his job the following week. Altman returned to the board last March following an external investigation.

Source: www.theguardian.com

Elon Musk unexpectedly withdraws legal action against Sam Altman and OpenAI

Elon Musk has submitted a motion to dismiss a lawsuit against ChatGPT developer OpenAI and its CEO Sam Altman, claiming that the startup has deviated from its original goal of developing artificial intelligence for the betterment of humanity.

Musk filed the lawsuit against Altman in February, and the legal process has been progressing slowly in a California court. Up until Tuesday, Musk had not shown any intention of dropping the case. Just a month ago, his legal team filed an objection, leading to the presiding judge stepping down.


Musk’s motion to dismiss the lawsuit did not provide any rationale. A San Francisco Superior Court judge was set to consider arguments from Altman and OpenAI on Wednesday to have the lawsuit thrown out.

The dismissal brought an abrupt end to the legal dispute between two influential figures in the tech realm. Musk and Altman co-founded OpenAI in 2015, but Musk resigned from the board three years later following disagreements over the company’s governance and direction. Their relationship has become increasingly strained as Altman’s prominence has grown in recent years.

Musk’s lawsuit centered on his assertion that Altman and OpenAI breached the company’s “foundation agreement” by collaborating with Microsoft, transforming OpenAI into a predominantly profit-driven entity, and withholding its technology from the public.

OpenAI and Altman contested the existence of such an agreement, citing messages that appeared to show Musk supporting the shift towards a for-profit model. They vehemently denied any wrongdoing and published a blog post in March suggesting Musk’s motivations were rooted in jealousy, expressing regret that a respected figure had taken this course of action.

Musk’s lawsuit raised eyebrows among legal experts, who pointed out that certain claims, such as OpenAI achieving artificial intelligence equivalent to human intelligence, lacked credibility.

Source: www.theguardian.com