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OpenAI Declares ‘Code Red,’ Prioritizes ChatGPT as Altman Casts Apple as Key Rival

The company is concentrating teams on near-term upgrades to its flagship chatbot under a public ‘code red’ to address mounting competitive pressure.

Overview

  • Sam Altman told journalists he views Apple as OpenAI’s long‑term competitor because device integration will decide the AI race, with OpenAI hiring ex‑Apple talent and working with Jony Ive on hardware reported for a late‑2026 target.
  • Following the reported ‘code red,’ OpenAI paused or deprioritized projects including the Sora video generator, ad and shopping experiments, health agents and Pulse to shift resources to ChatGPT’s speed, reliability and personalization.
  • OpenAI is preparing to release GPT‑5.2 as soon as this week with another update in January, according to multiple reports, and COO Brad Lightcap said a “series” of releases will arrive soon to accelerate model improvements.
  • Competitive urgency has risen after Google’s Gemini 3 posted strong evaluation results and drew public endorsements from tech leaders, with reporting indicating pressure on ChatGPT’s usage and perception.
  • OpenAI’s State of Enterprise AI report says workers save about 40–60 minutes per day and 75% report higher speed or quality, with more than 1 million businesses paying for enterprise products and usage up sharply year over year.