Key Highlights
- OpenAI launches GPT 5.0 with new advancements and capabilities
- Elon Musk says Grok 4 is better than GPT-5
- Elon Musk warns Microsoft CEO about integrating GPT-5, saying it will eat Microsoft alive
On August 7, the artificial intelligence race has reached a new level with OpenAI’s official release of GPT-5, its most powerful language model to date.
GPT-5 is the smartest model we’ve ever done, but the main thing we pushed for is real-world utility and mass accessibility/affordability.
we can release much, much smarter models, and we will, but this is something a billion+ people will benefit from.
(most of the world has…
— Sam Altman (@sama) August 7, 2025
The new AI model, announced on Thursday on the official website, comes with major upgrades in reasoning, speed, and safety compared to its predecessor, GPT-4.
But within minutes of the announcement, Elon Musk fired back, claiming that his existing AI model, Grok 4, already surpasses OpenAI’s new model in intelligence. He went the extra mile, saying that he is going to launch an even more advanced Grok 5 before the end of the year.
What’s New in GPT-5
OpenAI’s latest model introduces enhanced reasoning capabilities, which allow it to process information more deliberately before generating responses. This will eliminate the unnecessary jargon present in the response, which we witnessed in the earlier versions.
Unlike previous versions, which sometimes produced confident but incorrect answers, the new model has been trained to recognize its own limitations, reducing the frequency of AI “hallucinations.”
The company has also introduced a new feature called “safe completions,” which ensures the AI provides high-level answers to sensitive questions rather than completely refusing to engage.
Speed is another major improvement. GPT-5 responds faster than GPT-4, particularly in coding, education, and healthcare applications.
During a live demonstration, the AI built a fully functional French-learning web app, complete with flashcards and quizzes, in a matter of seconds. This shows its incredible ability to handle complex, multi-step tasks with greater efficiency than ever before.
Perhaps the biggest shift is in accessibility. For the first time, free-tier ChatGPT users will have limited access to GPT-5 before being switched to a lighter version, GPT-5 mini, after hitting usage limits.
Paid subscribers on Plus and Pro tiers receive higher or unlimited access, while developers can integrate the model via OpenAI’s API in three variants: GPT-5, GPT-5 mini, and GPT-5 nano, each optimized for different performance and cost needs.
Elon Musk Criticizes OpenAI, Alerts Microsoft CEO on GPT-5 Integration
But OpenAI isn’t the only player making waves. Elon Musk, whose company xAI develops the rival Grok model, wasted no time in downplaying GPT-5’s significance, raising questions about its capabilities.
In a series of posts on X (formerly Twitter), Musk claimed that Grok 4 was already smarter than GPT-5 two weeks ago and that the upcoming Grok 5 will be “crushingly good” by comparison.
Musk also took a swipe at Microsoft, OpenAI’s biggest investor, stating that “OpenAI is going to eat Microsoft alive.”
In response, Microsoft CEO saidOpenAI GPT-5: “People have been trying for 50 years, and that’s the fun of it! Each day you learn something new, and innovate, partner, and compete. Excited for Grok 4 on Azure and looking forward to Grok 5!”
The rivalry between OpenAI and xAI goes beyond technical benchmarks and showdowns on the internet between its founders. It is a clash of philosophies.
Musk, who co-founded OpenAI before leaving in 2018, has established Grok as a more transparent and rebellious alternative to ChatGPT, deeply integrated into X’s social media platform.
Meanwhile, OpenAI continues to push the boundaries of AI integration with Microsoft’s ecosystem, including Microsoft 365 Copilot, GitHub Copilot, and Azure AI.
Industry experts are divided on which model truly holds the edge. While GPT-5 boasts measurable improvements in accuracy and usability, Musk’s aggressive claims about Grok’s superiority suggest that the AI arms race is far from over. With Grok 5 expected by December, the competition between these two tech giants is set to intensify even further.
For now, users can experiment with GPT-5 across OpenAI’s platforms.
