OpenAI’s Sam Altman Issues “Code Red” for ChatGPT Improvements
Sam Altman, CEO of OpenAI, has recently raised alarms, calling for a “code red” in response to growing competition from companies like Google. This internal memo, sent on Monday, indicates a focus on enhancing ChatGPT’s performance in terms of speed, reliability, and user personalization.
According to reports from various news outlets, Altman emphasized the importance of these improvements, suggesting that the company would prioritize these upgrades while postponing other initiatives like new advertising strategies and specialized versions for areas such as healthcare and shopping. He also proposed a temporary team relocation to bolster this strategy.
This memo signals that OpenAI is arguably feeling the pressure, especially following Google’s announcement of its enhanced Gemini AI model, which has been well-received. In a recent benchmark test, Gemini 3 reportedly outperformed ChatGPT and other leading chatbots.
As OpenAI invests heavily in AI infrastructure—amounting to hundreds of billions of dollars—concerns have started to spread on Wall Street regarding potential overvaluation. Investors are increasingly anxious about whether these substantial expenditures will yield appropriate returns. Internal forecasts suggest that OpenAI may face around $74 billion in operating losses this year, with a long road ahead to achieve profitability goals, aiming for $200 billion in sales annually by 2030.
In addition to ChatGPT improvements, there are also whispers of a new AI model in development, codenamed “Garlic.” This could potentially counteract the recent advances made by Google.
Interestingly, despite the high-stakes competition, OpenAI still maintains a significant user base with over 800 million weekly active users across its ChatGPT platform. In contrast, Google’s Gemini falls slightly behind with 650 million monthly active users, as of October.
It’s worth noting that this isn’t the first time these companies’ leaders have issued calls to action. Google CEO Sundar Pichai previously declared a “Code Red” back in 2022 after ChatGPT’s launch, indicating a similar urgency in ramping up AI development.
