On August 7, 2025, OpenAI officially launched its latest artificial intelligence model, GPT-5. The new model is described by OpenAI CEO Sam Altman as their \"most powerful and capable AI model to date,\" representing a major advancement in AI capabilities. GPT-5 has been integrated into various Microsoft products, including Microsoft 365 Copilot, GitHub Copilot, and Azure AI Foundry, and is available to all ChatGPT users, including those on the free tier.
Sam Altman characterized GPT-5 as a \"software on demand\" with enhanced reasoning, coding, and chat functionalities. He compared the evolution of OpenAI's models by stating that GPT-3 was like a high school student, GPT-4 like a college graduate, and GPT-5 akin to a PhD-level expert. Despite these advancements, Altman noted that the model is not yet an artificial general intelligence (AGI) and lacks continuous learning ability.
GPT-5 introduces features such as autonomous agent tasks and \"vibe coding,\" which allows users to generate applications on demand. The model aims to improve reliability and trustworthiness in its outputs.
The launch has drawn attention from industry figures. Tesla CEO Elon Musk publicly warned Microsoft CEO Satya Nadella that OpenAI might \"eat Microsoft alive\" following the GPT-5 rollout, highlighting competitive tensions. Musk's company, xAI, has released its own AI models named Grok, with Grok 4 currently available and Grok 5 planned for release by the end of 2025. Musk claims Grok 4 surpasses GPT-5 in power.
Satya Nadella responded to Musk's remarks by emphasizing the long history of competition and innovation in technology, welcoming the advancements and expressing openness to collaboration. Nadella highlighted the integration of GPT-5 into Microsoft's platforms as a significant step and expressed anticipation for future developments, including Grok 5 on Azure.
In the coding AI space, GPT-5 is positioned as a challenger to Anthropic's Claude, another leading AI assistant for programming tasks. OpenAI aims to leverage GPT-5's enhanced coding capabilities to compete in this market segment. While GPT-5 has received endorsements for its bug-fixing and collaborative coding features, some critics have expressed concerns about its broader societal impacts, including potential effects on job markets and misinformation.
The release of GPT-5 marks a notable event in the ongoing development and competition within the AI industry, with major technology companies advancing their AI models and integrating them into widely used platforms.