Welcome to follow AI! In this version….Openai released the GPT-5 and reached a $1 government deal. AI homework helpers eliminate it. Zoox received a special exemption.
One of the definitions about the generation of the AI world is that even if you are at the highest level, the leader doesn’t last long.
So, two key questions from OpenAI’s long-awaited GPT-5 launch are whether the new LLM can help companies reclaim the cloak of undisputed AI leaders, and if so, how long can OpenAI stay ahead?
Openai said the GPT-5 provides “a more accurate answer than any previous inference model” and is “integrically smarter,” reflecting excellent performance in the benchmarks of academic and artificial assessments. Its research blog has new state-of-the-art performance in mathematics, coding and health problems and finds that GPT-5’s other OpenAI models in tasks spanning over 40 careers have surpassed other OpenAI models, including law, logistics, sales and engineering.
“The GPT-5 does feel like talking to a PhD expert on any subject,” Openai CEO Sam Altman told reporters Wednesday. “At any other time in history, something like the GPT-5 is almost unimaginable.”
Altman describes GPT-5 as a “important step” along the path to artificial universal intelligence (AGI), which, according to Openai’s mission statement, is defined as “a highly autonomous system that exceeds humanity in most economically valuable work.”
It is not yet clear whether this combination of speed, power and function is sufficient. About two years of production (GPT-4 was launched in March 2023), the GPT-5 will be released longer than many industry insiders would expect, as Openai has Adjusted its method Respond to industry changes. Although Chatgpt now has an impressive 700 million users per week, Openai has faced increasing pressure over the past year as competitors emerge with talent and competition in AI technologies such as long-term cultural reasoning and autonomous tool use. In addition to large-scale technology competitors Yuan and Googlethere is a wave of startups founded by Openai’s own former researchers, including humanity, thinking machines and safe superintelligence. Of course, there are new and powerful Chinese models, such as DeepSeekcompete for global influence.
Whether the GPT-5 will push Openai to the top of AI Hill will become clear in the coming days and weeks as researchers test the model at its pace, including Anthropic’s latest Claude Model and Google’s Gemini.
Openai pushes to stay ahead
With the GPT-5 finally out, Openai CEO Sam Altman admits that staying at the border means one thing: relentless scaling.
In AI, scaling means that the model becomes more powerful when increasing data, computing power, and the number of model components during training. This is the basic principle from GPT-2 to GPT-3 to GPT-4, now it is GPT-5. What is collected is that every leap requires exponential investment, especially in AI infrastructure – for OpenAI, including its Stargate Project, a joint venture announced with Softbank, Oracle and Investment Investment Firm MGX to invest $500 billion in US AI Specific Data Centers in 2029
When asked if the scale law is still in place, Artman said they were “absolutely.” He noted that with the improvement of “burning order”, better models, smarter architectures, higher quality data, and greater computing power.
But this kind of progress comes at a cost. “It will take a lot of calculations,” he admitted. “But we intend to continue doing that.”
Of course, this requires a lot of capital and partnerships.
On the bright side, Openai roughly doubled its revenue in the first seven months of 2025, reaching a $12 billion annual operating rate, about $6 billion from the beginning of the year. Through information reporting. This means $1 billion in monthly revenue, driven by a surge in demand for its Chatgpt products in the consumer and enterprise markets. Weekly active Chatgpt users jumped to $500 million for all OpenAI products in late March, up from $700 million. Earlier this week Openai releases free open source model– Unusual moves for a company that has often been criticized for its closed attitude over the past six decades suggest that its premium product (now GPT-5) will continue to dominate.
However, there are still some huge challenges in the future. on the one hand, Microsoft Openai began a $1 billion investment in 2019 – entering a more difficult and complex phase. Although Microsoft has invested more than $13 billion and retained exclusive rights to the OpenAI model through Azure, tensions have surpassed revenue sharing, AGI control terms and overlapping product strategies. The Stargate project relies on partnerships with companies such as SoftBank, which has invested regulations with Openai’s still unresolved efforts to limit its corporate structure.
There is still a lot to say about the GPT-5. The reporter received complete materials from OpenAI, including research blogs, system cards and security cards, only 90 minutes before the model was released, so I still have a lot to do. Please stay tuned for more!
Also: In less than a month, I’m heading to Park City, Utah for our annual brainstorming technology conference at Montage Deer Valley! Space is limited, so if you are interested in joining, Register here. I highly recommend: There is a great lineup of speakers including Ashley Kramer, Chief Revenue Officer of OpenAI; John Furner, Walmart US President and CEO; Tony Xu, Founder and CEO of Doordash; and many more!
That way, that’s the rest of AI news.
Salon Goldman
sharon.goldman@fortune.com
@sharongoldman
AI in the news
Openai reached a $1 government deal. According to a joint announcement from the General Services Administration (GSA), Openai has reached an agreement with the U.S. government to give federal agencies access to its cutting-edge AI models, including Chatgpt, for just $1. The partnership reflects months behind-the-scenes publicity by Openai CEO Sam Altman and his team, who have been in touch with the Trump administration since Donald Trump returned to the White House in January. In a statement wiredAltman made a deal as part of President Trump’s AI action plan, saying it would help civil servants use AI to better serve the American people.
AI homework helpers eliminate it. A week after Openai released the Chatgpt learning mode, Google jumped into the AI Tutor game with the new Tutor Game. Guidance learning model. Google says it works closely with learning experts, teachers and students to develop guided learning, which is in Gemini. Like Chatgpt’s learning model, Google’s guided learning is designed to encourage users to solve problems through “exploration and open-ended questions” rather than just spit out the answer. With many schools and universities courses set to begin in the coming weeks, the biggest question will be whether students really want AI learning partners or are satisfied with AI answer machines.
Zoox gets a steering wheel saving throw. Robotaxi’s evolution took a step forward on Wednesday U.S. federal regulators allow Amazon’s Zoox Test the self-driving shuttle without a steering wheel, pedal or other manual controls. This move clears the ambiguity in the autonomous vehicle industry. Although Zoox previously claimed that its vehicles meet federal car standards, the National Highway Traffic Safety Administration rules don’t seem to be the case. NHTSA’s move clearly shows that U.S.-made self-driving cars do indeed require manual controls to run on public roads (even for testing), but granted Zoox exemptions – which opens the door to other Robotaxi companies like Tesla.
We have wealth
Artificial intelligence is already improving company organization charts as it flattens the distance between C-Suite and everyone else – Beatrice Nolan
How Palantir (a company that is too small to create a Fortune 500) is one of the 25 most valuable companies in the world – Jessica Matthews
You have a calendar
September 8-10: FOTENUNE Brainstorming Technology, Park City, Utah. Apply to participate here.
October 6th to 10th: world AI One week, Amsterdam
October 21-22: Thai-era San Francisco. Apply to participate here.
December 2-7: Nervous, San Diego
December 8-9: Wealth Brainstorm AI San Francisco. Apply to participate here.
Pay attention to AI numbers
$364 billion
The total amount of Tech’s four top large subscales (Meta, Microsoft, Google and Amazon) is used for expenditures Capital Expenditure in 2025 When they build AI and cloud infrastructure. These companies are investing a lot of money in building and expanding data centers filled with expensive NVIDIA GPUs to stay ahead of AI and achieve AGI.