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OpenAI is strengthening its response to Google's AI competition

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2025-11-24 03:02:12
In a recent internal memo, OpenAI CEO Sam Altman admitted that Google's progress in artificial intelligence could create "short-term economic headwinds" for the company. According to The Information, Altman admitted that Google's new AI model may have taken the lead for the time being, saying "we know we still have work to do" and public opinion "may be grim for a while". Altman particularly praised Google's "excellent results" in the pre-training phase of the model, while OpenAI is developing a new model called Shallotpeat to address technical challenges.
While OpenAI is still valued at $500 billion, competitors including Anthropic and Google are accelerating to catch up, with the latter gradually closing the gap with ChatGPT through Gemini chatbots.
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