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Altman Admits GPT-5 Rollout Misstep, Warns AI Is in a Bubble

He says scarce compute is forcing hard trade-offs.

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Wall Street analysts are confident the artificial intelligence boom still has room to run.
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Overview

  • After backlash over GPT-5’s colder persona, Sam Altman said OpenAI “totally screwed up” the rollout and restored access to GPT-4/4o for users.
  • Altman said API traffic doubled within 48 hours of launch, yet GPU shortages have left OpenAI “out of GPUs,” delaying wider deployment of more capable models.
  • He projected spending in the trillions of dollars on data-center construction “in the not very distant future,” describing compute as the core bottleneck for growth.
  • Altman warned of bubble dynamics in AI with “insane” startup valuations and said “someone’s going to lose a phenomenal amount of money,” even as he called the technology profoundly important.
  • CNBC reported OpenAI is preparing a roughly $6 billion secondary sale valuing the company near $500 billion, and Altman said the firm will avoid sexually explicit chatbots while monitoring unhealthy user relationships.