OpenAI has launched its latest artificial intelligence (AI) model, GPT-5, at a striking price, igniting a price-cutting competition in the corporations' AI model market, U.S. IT media outlet TechCrunch reported on the 9th.
TechCrunch assessed that "some of the performance of GPT-5 does not reach the level of competitors' latest AI models, such as Anthropic, Google DeepMind, and xAI, but it undoubtedly has a competitive edge in terms of pricing."
The base rate for the GPT-5 application programming interface (API) is $1.25 per million tokens for input and $10 per million tokens for output. This matches the base rate of Google's latest model "Gemini 2.5 Pro"; however, Google imposes additional charges if the prompt usage exceeds 200,000 cases.
Moreover, GPT-5 is cheaper than Anthropic's "Claude Opus 4.1" API, which starts at $15 for input tokens and $75 for output tokens.
AI developers who have actually used GPT-5 pointed to its price competitiveness as a strength. Matt Shumer, co-founder of OthersideAI, noted, "It's great that GPT-5 is cheaper than GPT-4o," adding, "The intelligence per dollar keeps increasing." Some developers have even described it as "price disruptive."
As GPT-5 has competitiveness in the coding field, there are predictions that price-cutting competition could intensify in the corporations' AI market.
Sam Altman, CEO of OpenAI, stated on that day via X (formerly Twitter), "GPT-5 is the smartest model we have presented so far, but the main focus has been on real-world usability, accessibility, and affordability." He added, "I'm pleased to be able to offer it at this price."