The new language model is more efficient, accurate and better at problem-solving than prior iterations.
Key Facts
OpenAI called GPT-5 its “smartest, fastest, most useful model yet,” emphasizing improvements in coding, math, writing and health-related questions.
GPT-5 can answer questions more quickly and is less susceptible to hallucinations (when a language model accidentally produces incorrect or misleading results) than earlier models, according to OpenAI.
The language model is rolling out to ChatGPT Plus, Pro, Team and Free users Thursday and will release to Enterprise and Education users in one week.What Are Gpt-5’s Competitors?
OpenAI calls GPT-5 its flagship model, putting it in direct competition with large commercial competitors like xAI’s Grok 4 model, Google’s Gemini 2.5 and Anthropic’s Claude 4. China-based DeepSeek’s V3 model is also competing for users in the AI market. xAI CEO Elon Musk said on the heels of the GPT-5 launch that Grok 5 will “be out before the end of this year and it will be crushingly good.” It is unclear when Google or Anthropic will release the next versions of Gemini or Claude. Openai’s Valuation
The release of GPT-5 has been fueled by an unprecedented funding surge, as OpenAI closed a $40 billion funding round in March that marked the largest private tech funding round ever. The company, according to multiple outlets, is in early talks with investors about a stock sale for current and former employees at a $500 billion valuation, a massive jump from its previous valuation of $300 billion. Gpt-5 Addresses Rising Hallucination Rates Among Previous Models
Hallucinations have become an increasingly prevalent problem among OpenAI and other AI firms’ products. OpenAI said in an April report its GPT-o3 and o4-mini models have hallucinated 30%-50% of the time, and it’s not entirely clear why.
