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OpenAI’s ‘cheap’ new frontier model

OpenAI’s ‘cheap’ new frontier model

In the ever-evolving landscape of artificial intelligence (AI), OpenAI has made another significant stride with the introduction of o3-pro, their latest reasoning model. What really stands out about this release isn’t just the model’s impressive capabilities, but also the significant price reduction that comes with it. The new model has been lauded for its advanced reasoning capabilities, particularly in technical fields such as mathematics, science, and programming.

The o3-pro model is designed to “think longer,” which significantly enhances its reliability and performance. It has been reported that o3-pro outperforms its competitors on PhD-level tasks in math and science, and evaluators have preferred it across all tested categories. While it has the ability to use tools like web search and data analysis, it is slower and lacks support for features like image generation and Canvas.

The new model is available immediately to ChatGPT Pro and Team users, while Enterprise and Edu customers will gain access to it next week. According to feedback provided by tester Ben Hylak, o3-pro feels “much smarter” than its predecessor and “very different” from other frontier models. However, the most groundbreaking part of this release is the pricing – it is a fraction of the cost of older models, despite its significant improvement in intelligence and capability.

In other AI developments, Meta is reportedly restructuring its AI division with a new “superintelligence lab” headed by CEO Mark Zuckerberg. This restructuring involves a multi-billion dollar deal to bring onboard Scale AI CEO Alexandr Wang, and other top talent. Wang will lead Meta’s new group alongside other Scale AI technical talent. The $15B deal allows Meta to circumvent regulatory acquisition concerns with a 49% stake in the company while providing cash to Scale’s existing shareholders.

Zuckerberg has personally recruited nearly 50 researchers for the lab, offering as high as nine-figure packages to attract talent from OpenAI and Google. This move follows Zuckerberg’s reported dissatisfaction with the performance of Meta’s Llama 4 model and his desire to fast-track past competitors.

OpenAI CEO Sam Altman recently published a new blog post titled “The Gentle Singularity,” claiming humanity has passed the AI event horizon. He predicts superintelligence will reshape society, but its changes will remain manageable. Altman’s vision of the future involves solving AI alignment first, then ensuring superintelligence is cheap, distributed, and not controlled by a single entity.

In conclusion, despite the often negative portrayal of AI’s future, Altman’s vision paints a different picture. He imagines a future where society is able to adapt to exponential progress as once-remarkable capabilities quickly become commonplace. As we continue to cross new thresholds of technological advances, it is clear that the AI landscape will remain an exciting space to watch.

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