OpenAI refocuses on ChatGPT as senior staff depart amid intense AI chatbot competition

Senior staff departing OpenAI as firm prioritizes ChatGPT development

OpenAI is prioritizing the advancement of ChatGPT over more long-term research, prompting the departure of senior staff as the $500 billion company adapts to stiff competition from rivals such as Google and Anthropic. The San Francisco-based start-up has reallocated resources for experimental work in favor of advances to the large language models that power its flagship chatbot, according to 10 current and former employees. Among those to leave OpenAI in recent months over the strategic shift are vice-president of research Jerry Tworek, model policy researcher Andrea Vallone, and economist Tom Cunningham. The changes at OpenAI mark an important shift for a group where ChatGPT emerged from a research preview in 2022 before igniting the generative AI boom. Led by chief executive Sam Altman, it is evolving from a research lab into one of Silicon Valley's biggest companies. That means the company must prove to investors it will earn the revenues needed to justify a $500 billion valuation. "OpenAI is trying to treat language models now as an engineering problem where they're scaling up compute and scaling up algorithms and data, and they're eking out really big gains from doing that," one person familiar with its research ambitions said. "But if you want to do original blue-sky research, it is quite tough. And if you don't find yourself in one of the teams in the centre, it becomes increasingly political." OpenAI's chief research officer, Mark Chen, rejected the characterization. He said that "long-term, foundational research remains central to OpenAI and continues to account for the majority of our compute and investment, with hundreds of bottom-up projects exploring long-horizon questions beyond any single product." Chen added: "Pairing that research with real-world deployment strengthens our science by accelerating feedback, learning loops and rigour -- and we've never been more confident in our long-term research roadmap towards an automated researcher." As at other large tech companies, researchers at OpenAI need to apply to top executives for computing "credits" and access to technology to get their projects off the ground. Multiple people close to the company said that over recent months, researchers who did not work on large language models often had their requests denied or were granted amounts insufficient to validate research. Teams working on video and image generation models Sora and DALL-E felt neglected and under resourced, as their projects were deemed less relevant to ChatGPT, people familiar with the matter said. Over the past year, other projects unrelated to language models have been wound down, one person added. Others said there had been a reorganization of teams at the company, as OpenAI streamlines its structure around improving its popular chatbot used by 800 million people. In December, Altman declared a "code red" over the need to improve ChatGPT. It followed the release of Google's Gemini 3 model, which outperformed OpenAI's on independent benchmarks, and as Anthropic's Claude model made strides in generating computer code. "Realistically, there are tons of competitive pressures, especially for scaling companies who want to have the best model every quarter; it is a crazy, cut-throat race," a former employee said. "Companies are spending an unbelievable amount of money on that race, and that often requires focus, it requires trying to do what you know best and expect that to be working." Another former senior employee added: "Theoretically, there was some willingness to do other kinds of research, but directing resources to those things was made really difficult, so you always felt like a second-class citizen to the main bets." In January, Tworek, who led its efforts on the "reasoning" of AI models, left OpenAI after seven years, saying he wanted to explore "types of research that are hard to do at OpenAI." He wanted to work on continuous learning -- the ability of a model to learn from new data over time while retaining previously learned information. People close to Tworek said his appeals for more resources such as computing power and staff were rejected by leadership, culminating in a stand-off with chief scientist Jakub Pachocki. People familiar with the dispute said Pachocki disagreed with Tworek's specific scientific approach and also believed that OpenAI's existing AI "architecture" around LLMs was more promising. Last month, Vallone, who led model policy research at OpenAI, joined rival Anthropic. Two people familiar with her exit said she was given an "impossible" mission of protecting the mental health of users becoming attached to ChatGPT. Vallone did not respond to a request for comment. Cunningham left the economic research team last year, suggesting OpenAI was straying from impartial research to focus on work that promoted the company. His departure was first reported by Wired. "The company is still making progress, but it is locked in a tight competition with Google and Anthropic, who have consensus stronger models, so they have less of a luxury to slow down because they could let competitors push ahead," said a former employee. Many investors are unconcerned about the risk that OpenAI falls behind rivals in the race to build advanced "frontier" models and products. Jenny Xiao, a partner at Leonis Capital and former researcher at OpenAI, believes its advantage is the hundreds of millions of people who use ChatGPT. "Everyone's obsessing over whether OpenAI has the best model," she said. "That's the wrong question. They're converting technical leadership into platform lock-in. The moat has shifted from research to user behavior, and that's a much stickier advantage." Additional reporting by George Hammond in San Francisco and Melissa Heikkilä in London

OpenAI CEO says ChatGPT back to over 10% monthly growth, CNBC reports

Feb 9 (Reuters) - OpenAI CEO Sam Altman told employees that the startup's artificial intelligence chatbot, ChatGPT, was back to exceeding 10% monthly growth, CNBC reported on Monday. The startup, which has more than 800 million weekly active users, is also preparing to launch "an updated Chat model" this week, the report said, citing an internal Slack message from Altman. OpenAI did not immediately respond to a Reuters request for comment. Reuters could not independently verify the report. AI startups, including Microsoft-backed (MSFT.O), opens new tab OpenAI and Anthropic, are stepping up competition to gain new customers and market share. Google Gemini app exceeded 750 million monthly active users at the end of the December quarter. Anthropic is seen as a disrupter in the software industry, as software developers have embraced its AI for coding. It is making a push for business deals with products like Claude Cowork, which executes computer tasks for white-collar workers. Altman said OpenAI's coding product, Codex, grew about 50% from a week ago. Codex competes directly with Anthropic's computer programming tool Claude Code, the CNBC report said. Last week, OpenAI launched a new coding model called GPT-5.3-Codex. OpenAI has said it would start showing ads in ChatGPT to some U.S. users, as it ramps up efforts to generate revenue from the AI chatbot to fund the high costs of developing the technology. Reporting by Jaspreet Singh in Bengaluru; Editing by Arun Koyyur Our Standards: The Thomson Reuters Trust Principles., opens new tab

Sam Altman touts ChatGPT's reaccelerating growth to employees as OpenAI closes in on $100 billion funding

Open AI CEO Sam Altman speaks during a talk session with SoftBank Group CEO Masayoshi Son at an event titled "Transforming Business through AI" in Tokyo, on Feb. 3, 2025. As OpenAI faces intensifying pressure from rival Anthropic's improved coding tools, CEO Sam Altman is telling employees and investors that his company is seeing its share of momentum. Altman told OpenAI employees on Friday that ChatGPT, the company's popular artificial intelligence chatbot, is "back to exceeding 10% monthly growth," according to an internal Slack message viewed by CNBC. OpenAI is also preparing to launch "an updated Chat model" this week, Altman said. More than 800 million people use ChatGPT each week, but Google and Anthropic have been gaining ground. OpenAI declared a "code red" in December to improve ChatGPT, and temporarily sidelined several projects to focus on that effort. In his message on Friday, Altman said OpenAI's coding product, Codex, grew about 50% from a week ago. Codex competes directly with Anthropic's Claude Code, which has seen a wave of adoption over the last year.

"Code Red" memo triggers strategic reorganization at OpenAI

OpenAI senior staff members have departed as the company redirects resources from long-term research to its ChatGPT product, according to a Financial Times report citing 10 current and former employees. Vice President of Research Jerry Tworek, who led development of OpenAI's o1 reasoning model, left in early January 2025 after nearly seven years with the company. In an internal memo shared on X, Tworek stated he was "leaving to try and explore types of research that are hard to do at OpenAI." His exit reflects the challenges some researchers face in pursuing certain projects within the current organizational structure. Model Policy Researcher Andrea Vallone, who headed safety research on how ChatGPT responds to users experiencing mental-health distress, has joined rival Anthropic. Her work focused on ensuring appropriate safeguards in the chatbot's interactions during sensitive user situations. Economist Tom Cunningham departed in September 2025. In an internal farewell message, he cited a "growing tension between conducting rigorous analysis and serving as an informal promotional entity for OpenAI." Cunningham's role involved economic assessments that sometimes conflicted with the company's public positioning. Researchers on non-large language model projects have encountered denied or scaled-back funding requests. Teams responsible for Sora, the video generation tool, and DALL-E, the image generation model, operate with limited resources. Several non-language projects have been wound down as part of a broader reorganization at OpenAI. Chief Research Officer Mark Chen addressed these changes in comments to the Financial Times. He affirmed that OpenAI remains committed to long-term foundational research. Chen explained that combining research with real-world deployment "strengthens the company's science by speeding up feedback, learning cycles, and rigor." Following Tworek's departure, Chen stated in a company message that OpenAI is "very excited about our 2026 roadmap and advancing work toward an automated scientist." The strategic pivot originated from a "code red" memo by CEO Sam Altman in December 2025. The memo directed efforts to improve ChatGPT amid Google's Gemini 3 receiving widespread acclaim and Anthropic expanding its enterprise client base. ChatGPT now serves over 800 million weekly users, while OpenAI contends with investor expectations for revenue that matches its valuation. OpenAI's trajectory has evolved from a research laboratory into a product-driven technology company. The organization prepares for a fourth-quarter initial public offering and is expanding its finance team to precede Anthropic in market entry. Altman has indicated that OpenAI can "dramatically" slow hiring while boosting output, enabled by AI to accomplish more without rapid workforce growth. In 2025, the company achieved an annual revenue run-rate exceeding $20 billion.

OpenAI Might Be Planning to Launch a New AI Model for ChatGPT

The company recently released GPT-5.3-Codex for developers and coders OpenAI might have turned its fortunes this week. As per multiple reports, the company CEO Sam Altman had announced a "code red" in December 2025, asking all employees to focus on improving ChatGPT and related products, while putting everything else on hold. The concentrated effort led to the release of GPT-5.2, adjustable personality traits in ChatGPT, new healthcare features, and a new artificial intelligence (AI) model for Codex. Now, as per a new report, Altman has told employees that the AI giant is back on track in terms of revenue growth. OpenAI's Revenue Growth and a New AI Model: Report According to a CNBC report, Altman has told employees and investors that the AI giant's revenue growth has started re-accelerating after a period of dip pre-December 2025. An internal slack message from the OpenAI CEO was viewed by the publication, which mentioned that ChatGPT is "back to exceeding 10 percent monthly growth." Despite the increased revenue growth, it is unclear if the "code red" continues or if it has been lifted. Additionally, the report claims that Altman has also revealed that the company is preparing the launch of an "updated chat model" this week. While it is not certain, it appears that the chat model refers to a new (or updated) AI model for ChatGPT. This could be GPT-5.3, given that OpenAI released GPT-5.3-Codex, designed for agentic coding tasks, just this week. Notably, the GPT-5.2 AI model was released in December 2025, making the release of another model premature. However, the company is planning to sunset the GPT-4o model on February 13, which is loved by many due to its high conversational intelligence. The announcement was met with frustrations and protests from users. It is likely that the company is planning the new model as a replacement for GPT-4o with a focus on conversations and emotional intelligence. In the Slack message, Altman reportedly also called the recent growth of Codex "insane." The publication claimed that the coding product grew by 50 percent in a week, after the release of the new agentic model. "This was a great week," Altman was quoted as saying.

OpenAI CEO says ChatGPT back to over 10% monthly growth: Report - The Economic Times

OpenAI CEO Sam Altman told employees that the startup's artificial intelligence chatbot, ChatGPT, was back to exceeding ⁠10% monthly growth.OpenAI CEO Sam Altman told employees that the startup's artificial intelligence chatbot, ChatGPT, was back to exceeding ⁠10% monthly growth, CNBC reported on Monday. The startup, which has more than 800 million weekly active users, is also preparing to launch "an updated Chat model" this week, the report said, citing an internal Slack message from Altman. OpenAI did not immediately respond to a Reuters request for comment. Reuters could not independently verify the report. AI startups, including Microsoft-backed OpenAI and Anthropic, are stepping up competition to gain new customers and market share. Google Gemini app exceeded 750 million monthly active users at the end of the December quarter. Anthropic is seen as a disrupter in the software industry, as software developers have embraced its AI for coding. It is making a push for business deals with products like Claude Cowork, which executes computer tasks for white-collar workers. Altman said OpenAI's coding product, Codex, grew about 50% from a week ago. Codex competes directly with Anthropic's computer programming ⁠tool Claude ⁠Code, the CNBC report said. Last week, OpenAI launched a new coding model called GPT-5.3-Codex. OpenAI has said it would start showing ads in ChatGPT to some US users, as it ramps up efforts to generate revenue from the AI chatbot to fund the high costs of developing the technology.

What's Going On With ChatGPT Parent OpenAI - New Funding, User Growth And Ads - Advanced Micro Devices (NASDAQ:AMD), Amazon.com (NASDAQ:AMZN)

OpenAI's momentum is increasing as CEO Sam Altman reassures employees and investors, despite rising competitive pressure from rival Anthropic's improved coding tools. OpenAI Regains Momentum with Strong Growth Sam Altman wrote in an internal Slack message on Friday that ChatGPT has returned to more than 10% monthly growth and that OpenAI plans to roll out an updated Chat model this week. He also said Codex usage jumped about 50% in the past week after OpenAI released its new GPT-5.3-Codex model and a standalone Mac app, CNBC reported on Monday. OpenAI also moved to address Anthropic's Super Bowl ads that criticized the idea of advertising inside ChatGPT. Altman called the ads "deceptive" and said OpenAI would "obviously never run ads in the way Anthropic depicts them." A person familiar with the matter told CNBC that OpenAI will start testing ads in ChatGPT on Monday, with ads clearly labeled, placed at the bottom of responses, and not used to influence answers. Microsoft Corp (NASDAQ:MSFT) is the largest outside stakeholder of OpenAI, holding a roughly 27% stake. Funding Round and Growing Investor Interest Several major tech players are lining up to deepen their stakes in OpenAI as the company pursues a massive new funding round. Nvidia Corp (NASDAQ:NVDA), led by CEO Jensen Huang, is reportedly nearing a $20 billion investment in OpenAI, which would become the chipmaker's largest commitment to the AI startup so far, according to Bloomberg. OpenAI is reportedly targeting up to $100 billion in fresh capital. The talks come as investors scrutinize OpenAI's relationship with Nvidia. Recent reports suggested that earlier plans for an even larger Nvidia investment stalled due to internal concerns, and that OpenAI has expressed dissatisfaction with some of Nvidia's newer AI chips. Both Huang and OpenAI CEO Sam Altman have publicly disputed those claims. Analyst Take Wedbush analyst Dan Ives said the latest headlines involving Nvidia and OpenAI have heightened investor attention, but he views the developments as positive signals that strengthen the long-term case for the AI boom. Ives said concerns about circular financing and "too big to fail" dynamics have put Nvidia's planned OpenAI investment under a microscope. He noted that Nvidia previously laid out plans to help build at least 10 gigawatts of computing capacity for OpenAI and to invest as much as $100 billion, making CEO Jensen Huang's public comments especially important for market sentiment. The analyst said Nvidia remains in a favorable negotiating position and expects the final investment to land near the upper end of the stated range, which should ease fears about OpenAI becoming "too big to fail." Image via Shutterstock Market News and Data brought to you by Benzinga APIs To add Benzinga News as your preferred source on Google, click here.

OpenAI's ChatGPT returns to 10%-plus monthly growth, CEO says: report

Despite increasing competition in the artificial intelligence chatbot market, OpenAI (OPENAI) CEO Sam Altman told employees ChatGPT is back to experiencing 10%-plus monthly growth, according to CNBC. Altman informed OpenAI's employees of the gains in an internal Slack message on OpenAI is experiencing 10%-plus monthly growth for ChatGPT, supported by product updates like a new Chat model and strong user engagement, including 800M weekly active users. OpenAI plans to test ads on ChatGPT and emphasizes accessibility, providing free options at scale, while Anthropic targets higher-end users and critiqued OpenAI's ad model during the Super Bowl. OpenAI's Codex saw about 50% growth in the past week and was featured in a prominent Super Bowl ad, highlighting its accelerated adoption and ongoing product enhancements.

OpenAI's ChatGPT Focus Triggers Senior Staff Exodus -- Sora, DALL-E Teams Hit: Report - Alphabet (NASDAQ:GOOG), Alphabet (NASDAQ:GOOGL)

OpenAI is focusing on advancing its ChatGPT model on long-term research, reportedly leading to the departure of key personnel. Shift to LLMs Spurs Staff Departures The Sam Altman-led company's strategy to allocate more resources to enhancing its large language models has led to the exit of several senior employees, including Vice President of Research Jerry Tworek, Model Policy Researcher Andrea Vallone, and Economist Tom Cunningham, The Financial Times reported on Tuesday. OpenAI's Chief Research Officer Mark Chen told the publication that the company remains committed to long-term foundational research and added that combining research with real-world deployment strengthens the company's science by speeding up feedback, learning cycles, and rigor. However, the Financial Times reported that OpenAI has increasingly prioritized large language models, with researchers on non-LLM projects seeing funding requests denied or scaled back. Teams behind Sora and DALL-E were reportedly under-resourced, while several non-language projects were wound down amid broader team reorganization. OpenAI did not immediately respond to Benzinga's request for comment. Slow Hiring Amid Expansion Challenges OpenAI's focus on ChatGPT follows Altman's remarks that the company can "dramatically" slow hiring while still boosting output, as AI enables it to achieve more without rapidly expanding its workforce. Image via Shutterstock Market News and Data brought to you by Benzinga APIs

OpenAI CEO says ChatGPT back to over 10% monthly growth, CNBC reports

Feb 9 (Reuters) - OpenAI CEO Sam Altman told employees that the startup's artificial intelligence chatbot, ChatGPT, was back to exceeding 10% monthly growth, CNBC reported on Monday. The startup, which has more than 800 million weekly active users, is also preparing to launch "an updated Chat model" this week, the report said, citing an internal Slack message from Altman. OpenAI did not immediately respond to a Reuters request for comment. Reuters could not independently verify the report. AI startups, including Microsoft-backed OpenAI and Anthropic, are stepping up competition to gain new customers and market share. Google Gemini app exceeded 750 million monthly active users at the end of the December quarter. Anthropic is seen as a disrupter in the software industry, as software developers have embraced its AI for coding. It is making a push for business deals with products like Claude Cowork, which executes computer tasks for white-collar workers. Altman said OpenAI's coding product, Codex, grew about 50% from a week ago. Codex competes directly with Anthropic's computer programming tool Claude Code, the CNBC report said. Last week, OpenAI launched a new coding model called GPT-5.3-Codex. OpenAI has said it would start showing ads in ChatGPT to some U.S. users, as it ramps up efforts to generate revenue from the AI chatbot to fund the high costs of developing the technology. (Reporting by Jaspreet Singh in Bengaluru; Editing by Arun Koyyur)

OpenAI ignoring research, Sora and DALL-E, suggest people leaving ChatGPT maker

Premium 75 percent wired gaming keyboard surprisingly perfect for writers According to a recent report by the Financial Times, a profound cultural and strategic shift is unfolding within the halls of OpenAI. Once a sanctuary for "blue-sky" experimentation, the $500 billion company is reportedly pivoting into a product-driven engineering factory. This transformation, driven by an intense "Code Red" internal mandate, has prioritized the commercial dominance of ChatGPT at the expense of its pioneering research into video and image generation, specifically targeting projects like Sora and DALL-E. Also read: Indians get 13 scam messages daily, AI and deepfake boosting scams The transition from a research laboratory to a Silicon Valley giant has created a hierarchy where ChatGPT is the undisputed priority. Multiple sources close to the company indicate that researchers working on non-language models now find themselves in a constant battle for resources. In the high-stakes world of AI development, "computing credits" are the primary currency; however, those working on the text-to-video model Sora and the image-generator DALL-E have reportedly seen their requests denied or slashed. Also read: Sam Altman feels useless thanks to ChatGPT Codex, and he's sad about it This reallocation of compute power and funding toward Large Language Models (LLMs) has left many top-tier researchers feeling like "second-class citizens." The Financial Times highlights that projects deemed less relevant to the immediate improvement of ChatGPT's chatbot interface are being wound down or starved of the necessary infrastructure to validate new theories. This "ChatGPT-first" strategy is a direct response to the "cut-throat race" against rivals like Google's Gemini 3 and Anthropic's Claude, forcing OpenAI to choose between long-term innovation and short-term market defense. The most visible symptom of this shift is a growing talent drain. Senior figures who joined OpenAI for its original mission of foundational research are now looking elsewhere. The departure of Jerry Tworek, a seven-year veteran and VP of Research, serves as a high-profile example. Tworek reportedly left following a standoff over the direction of "reasoning" research, signaling that the company's current architecture is now favored over exploring entirely new scientific approaches. Other notable exits include model policy researcher Andrea Vallone, who moved to rival Anthropic, and economist Tom Cunningham. These departures suggest a mounting disillusionment among staff who believe the company is straying from impartial research to focus on work that primarily serves its commercial narrative. While OpenAI's leadership maintains that long-term research remains central, the internal reorganization suggests otherwise. For investors, the shift is a logical evolution toward justifying a half-trillion-dollar valuation. By focusing on "platform lock-in" for its 800 million users, OpenAI is building a formidable business moat. However, for the scientists who built the foundation of generative AI, the sacrifice of Sora and DALL-E's advancement may represent a loss of the very soul that made OpenAI a pioneer in the first place.