OpenAI

OpenAI considers antitrust action against Microsoft over AI hosting control

OpenAI reportedly tries to reduce Microsoft’s exclusive control over hosting its AI models, signalling growing friction between the two companies.

According to the Wall Street Journal, OpenAI leadership has considered filing an antitrust complaint against Microsoft, alleging anti-competitive behaviour in their ongoing collaboration. The move could trigger federal regulatory scrutiny.

The tension comes amid ongoing talks over OpenAI’s corporate restructuring. A report by The Information suggests that OpenAI is negotiating to grant Microsoft a 33% stake in its reorganized for-profit unit. In exchange, Microsoft would give up rights to future profits.

OpenAI also wants to revise its existing contract with Microsoft, particularly clauses that grant exclusive Azure hosting rights. The company reportedly aims to exclude its planned $3 billion acquisition of AI startup Windsurf from the agreement, which otherwise gives Microsoft access to OpenAI’s intellectual property.

This developing rift could reshape one of the most influential alliances in AI. Microsoft has invested heavily in OpenAI since 2019 and integrates its models into Microsoft 365 Copilot and Azure services. However, both firms are diversifying.

OpenAI is turning to Google Cloud and Oracle for additional computing power, while Microsoft has begun integrating alternative AI models into its products.

Industry experts warn that regulatory scrutiny or contract changes could impact enterprise customers relying on tightly integrated AI solutions, particularly in sectors like healthcare and finance. Companies may face service disruptions, higher costs, or compatibility challenges if major players shift strategy or infrastructure.

Analysts suggest that the era of single-model reliance may be ending. As innovation from rivals like DeepSeek accelerates, enterprises and cloud providers are moving toward multi-model support, aiming for modular, scalable, and use-case-specific AI deployments.

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OpenAI turns to Google Cloud in shift from solo AI race

OpenAI has entered into an unexpected partnership with Google, using Google Cloud to support its growing AI infrastructure needs.

Despite being fierce competitors in AI, the two tech giants recognise that long-term success may require collaboration instead of isolation.

As the demand for high-performance hardware soars, traditional rivals join forces to keep pace. OpenAI, previously backed heavily by Microsoft, now draws from Google’s vast cloud resources, hinting at a changing attitude in the AI race.

Rather than going it alone, firms may benefit more by leveraging each other’s strengths to accelerate development.

Google CEO Sundar Pichai, speaking on a podcast, suggested there is room for multiple winners in the AI sector. He even noted that a major competitor had ‘invited me to a dance’, underscoring a new phase of pragmatic cooperation.

While Google still faces threats to its search dominance from tools like ChatGPT, business incentives may override rivalry.

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Deepseek searches soar after ChatGPT outage

ChatGPT users faced widespread disruption on 10 June 2025 after a global outage hit OpenAI’s services, affecting both the chatbot and associated APIs. OpenAI has yet to confirm the cause, stating only that users are experiencing high error rates and delays.

The blackout halted work for many creative teams who rely on the tool to generate content and meet deadlines. While some were stalled, others turned to alternatives, sparking a surge in interest in rival AI chatbots.

Searches for DeepSeek, a Chinese-developed AI model, jumped 109% to over 2.1 million on the outage day. Claude AI saw a 95% increase in queries, while interest in Google Gemini and Microsoft Copilot also spiked significantly.

Industry experts say the incident underscores the risk of overdependence on a single platform and highlights the growing maturity of competing AI tools. While frustrating for many, the disruption appears to be fuelling broader competition and diversification in the generative AI market.

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Sam Altman says GPT-4o demand overwhelmed OpenAI’s GPU supply

OpenAI faced a significant infrastructure strain after its GPT-4o image generator went viral for producing Ghibli-style memes. The sudden influx of user demand added a million new users in under an hour, putting immense pressure on the company’s systems.

CEO Sam Altman admitted that OpenAI had to slow feature rollouts and borrow computing power from its research division to keep the service running. The platform temporarily introduced rate limits as it coped with overloaded GPUs.

Altman described the situation as unprecedented, saying no other company has had to manage such intense viral spikes. He noted that image generation with GPT-4o requires significant compute resources, which the company could not fully meet with its current GPU inventory.

Despite the challenges, Altman maintained that OpenAI is committed to managing high user demand while continuing development. The company is also considering watermarking the AI images created by free users to help manage scale and traceability.

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OpenAI launches powerful o3-Pro model with steep price cuts

OpenAI has rolled out its most advanced AI model yet, o3-Pro, delivering significant improvements in reasoning and task complexity while introducing steep price reductions.

The model is now available to ChatGPT Pro and Team users, with Enterprise and Education access coming next week. Developers can also access it via OpenAI’s API.

O3-Pro is designed for high-performance use across technology, education, and science sectors. It supports advanced capabilities such as web browsing, code execution, file analysis, and memory retention during conversations.

Despite these upgrades, pricing has been reduced drastically—87% lower than o1-Pro—costing just $20 per million input tokens and $80 per million output tokens. The base o3 model has also seen an 80% price cut.

Evaluators consistently rated o3-Pro higher than previous models for clarity, instruction-following, and accuracy, with standout results in benchmarks like AIME 2024 and GPQA Diamond, where it beat Google’s Gemini 2.5 Pro and Claude 4 Opus, respectively.

Although the model lacks image generation and Canvas support, its reasoning capabilities mark a major step forward in OpenAI’s AI offerings.

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Sam Altman predicts AI will discover new ideas

In a new blog post titled The Gentle Singularity, OpenAI CEO Sam Altman predicted that AI systems capable of producing ‘novel insights’ may arrive as early as 2026.

While Altman’s essay blends optimism with caution, it subtly signals the company’s next central ambition — creating AI that goes beyond repeating existing knowledge and begins generating original ideas instead of mimicking human reasoning.

Altman’s comments echo a broader industry trend. Researchers are already using OpenAI’s recent o3 and o4-mini models to generate new hypotheses. Competitors like Google, Anthropic and FutureHouse are also shifting their focus towards scientific discovery.

Google’s AlphaEvolve has reportedly devised novel solutions to complex maths problems, while FutureHouse claims to have built AI capable of genuine scientific breakthroughs.

Despite the optimism, experts remain sceptical. Critics argue that AI still struggles to ask meaningful questions, a key ingredient for genuine insight.

Former OpenAI researcher Kenneth Stanley, now leading Lila Sciences, says generating creative hypotheses is a more formidable challenge than agentic behaviour. Whether OpenAI achieves the leap remains uncertain, but Altman’s essay may hint at the company’s next bold step.

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OpenAI’s revenue almost doubles to $10 billion

OpenAI has revealed that its annualised revenue has surged to $10 billion as of June 2025, nearly doubling since December 2024, when it stood at $5.5 billion.

The rapid growth is driven by the widespread adoption of its ChatGPT AI models across consumer and business markets, putting the company on course to meet its earlier goal of $12.7 billion in revenue for the whole year.

The $10 billion figure excludes licensing income from Microsoft, a major investor, and some large one-off contracts, according to an OpenAI spokesperson. Despite recording a loss of about $5 billion last year, OpenAI’s impressive revenue scale places it well ahead of many rivals benefiting from the AI boom.

Other players in the AI space are also seeing strong growth. For instance, Anthropic recently surpassed $3 billion in annualised revenue, driven by startup demand using its code-generation models. Meanwhile, OpenAI plans to raise up to $40 billion in new funding, valuing the company at $300 billion.

Since launching ChatGPT over two years ago, OpenAI has expanded its offerings with various subscription plans and services. The company reported 500 million weekly active users as of March 2025, underscoring its dominant position in the AI market.

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Workers struggle as ChatGPT goes down

The temporary outage of ChatGPT this morning left thousands of users struggling with their daily tasks, highlighting a growing reliance on AI.

Social media was flooded with humorous yet telling posts from users expressing their inability to perform even basic functions without AI. This incident has reignited concerns about society’s increasing dependence on closed-source AI tools for work and everyday life.

OpenAI, the developer of ChatGPT, is currently investigating the technical issues that led to ‘elevated error rates and latency.’ The widespread disruption underscores a broader debate about AI’s impact on critical thinking and productivity.

While some research suggests AI chatbots can enhance efficiency, others, like Paul Armstrong, argue that frequent reliance on generative tools may diminish critical thinking skills and understanding.

The discussion around AI’s role in the workplace was a key theme at the recent SXSW London event. Despite concerns about job displacement, exemplified by redundancies at Canva, firms like Lloyd’s Market Association are increasingly adopting AI, with 40% of London market companies now using it.

Industry leaders maintain that AI aims to rethink workflows and empower human creativity, with a ‘human layer’ remaining essential for refining and adding nuanced value.

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OpenAI cracks down on misuse of ChatGPT by foreign threat actors

OpenAI has shut down a network of ChatGPT accounts allegedly linked to nation-state actors from Russia, China, Iran, North Korea, and others after uncovering their use in cyber and influence operations.

The banned accounts were used to assist in developing malware, automate social media content, and conduct reconnaissance on sensitive technologies.

According to OpenAI’s latest threat report, a Russian-speaking group used the chatbot to iteratively improve malware code written in Go. Each account was used only once to refine the code before being abandoned, a tactic highlighting the group’s emphasis on operational security.

The malicious software was later disguised as a legitimate gaming tool and distributed online, infecting victims’ devices to exfiltrate sensitive data and establish long-term access.

Chinese-linked groups, including APT5 and APT15, were found using OpenAI’s models for a range of technical tasks—from researching satellite communications to developing scripts for Android app automation and penetration testing.

Other accounts were linked to influence campaigns that generated propaganda or polarising content in multiple languages, including efforts to pose as journalists and simulate public discourse around elections and geopolitical events.

The banned activities also included scams, social engineering, and politically motivated disinformation. OpenAI stressed that although some misuse was detected, none involved sophisticated or large-scale attacks enabled solely by its tools.

The company said it is continuing to improve detection and mitigation efforts to prevent abuse of its models.

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ChatGPT adds meeting recording and cloud access

OpenAI has launched new features for ChatGPT that allow it to record meetings, transcribe conversations, and pull information directly from cloud platforms like Google Drive and SharePoint.

Instead of relying on typed input alone, users can now speak to ChatGPT, which records audio, creates editable summaries, and helps generate follow-up content such as emails or project outlines.

‘Record’ is currently available to Team users via the macOS app and will soon expand to Enterprise and Edu accounts.

The recording tool automatically deletes the audio after transcription and applies existing workspace data rules, ensuring recordings are not used for training.

Instead of leaving notes scattered across different platforms, users gain a structured and searchable history of conversations, voice notes, or brainstorming sessions, which ChatGPT can recall and apply during future interactions.

At the same time, OpenAI has introduced new connectors for business users that let ChatGPT access files from cloud services like Dropbox, OneDrive, Box, and others.

These connectors allow ChatGPT to search and summarise information from internal documents, rather than depending only on web search or user uploads. The update also includes beta support for Deep Research agents that can work with tools like GitHub and HubSpot.

OpenAI has embraced the Model Context Protocol, an open standard allowing organisations to build their own custom connectors for proprietary tools.

Rather than serving purely as a general-purpose chatbot, ChatGPT is evolving into a workplace assistant capable of tapping into and understanding a company’s complete knowledge base.

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