OpenAI CEO Sam Altman recently initiated a 'Code Red' alert, urging the team to focus entirely on improving ChatGPT and delaying entry into the advertising market in response to Google Gemini 3's strong encroachment and Anthropic's rapid growth in the enterprise sector, hoping to maintain its AI leadership position.
Sam Altman issued a Code Red alert, fully redirecting efforts to ChatGPT
OpenAI CEO Sam Altman this week issued a memo to internal staff, announcing the launch of the Code Red plan: 'We are at a critical moment for ChatGPT.'
The Information reported that OpenAI will pause investments in non-core businesses such as health, shopping, and advertising, fully focusing on enhancing ChatGPT's capabilities and personalized experiences:
The launch of Gemini 3 may bring temporary headwinds for the company, and I expect the external atmosphere to be unfavorable for a while.
Altman told employees that all resources must currently be used to strengthen core products to ensure competitive advantages are not eroded.
The rise of Google Gemini 3 and Anthropic Claude puts pressure on the landscape.
OpenAI is facing unprecedented competitive pressure, with Gemini 3 launched by Google last month receiving rave reviews, its Gemini App product achieving an astonishing 650 million monthly active users (MAU) and AI search summaries reaching 2 billion.
Menlo Ventures partner Deedy pointed out that since the launch of Gemini 3, daily active users of ChatGPT have dropped by 6%, indicating that competitors have started to shake user habits.
Anthropic is also rising in the enterprise market, with the number of corporate clients growing from less than a thousand two years ago to 300,000, and large clients with annual revenues exceeding 100,000 dollars have grown sevenfold in one year.
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Soaring valuations and skyrocketing costs: OpenAI faces financial reality tests.
Unlike companies with cash flow businesses like Google and Meta, OpenAI, an artificial intelligence company reportedly valued at 1 trillion dollars, mainly relies on funding for its finances, which still keeps it in a loss-making state.
Meanwhile, OpenAI has signed multiple computational infrastructure partnership commitments in recent months, planning to invest over 1.4 trillion dollars in training and deploying its AI systems over the next eight years, raising questions about whether the company can bear such huge costs, but Altman stated that this is a necessary long-term bet for future competition.
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ChatGPT's third anniversary! Nick Turley: Driving the evolution of search.
ChatGPT product manager Nick Turley also posted on X yesterday to celebrate, emphasizing that the goal for the next three years is to make ChatGPT stronger and more personalized, while expanding global accessibility: 'Search is one of the biggest opportunity areas.'
ChatGPT currently accounts for about 10% of search activity and is growing rapidly, showing significant room for expansion.
As Google and Anthropic close in, OpenAI's next step will determine whether it can maintain its position as an AI leader.
This article reports that OpenAI has sounded the alarm in response to the competitive pressure from Google Gemini 3, first appearing in Chain News ABMedia.