Sam Altman, CEO of OpenAI, is facing a multifaceted crisis as ChatGPT celebrates its third birthday. Following a report predicting that OpenAI won’t be profitable until 2030, the company is reeling from a data breach exposing user details and accusations of harmful AI behavior. In a “code red” memo to employees, Altman highlighted fierce competition from rivals like Anthropic, DeepMind, and Google’s Gemini, which has set new performance benchmarks. Google’s Gemini 3 has rapidly increased its user base, drawing attention from key industry players, including Salesforce’s CEO. The competition impacts OpenAI’s growth and profitability, posing potential existential risks. Analysts warn that if OpenAI does not adapt, it may suffer a decline reminiscent of past tech bubbles. Meanwhile, the company is reportedly developing a groundbreaking hardware product with Jony Ive, aiming to secure its market position and maintain revenue growth. The stakes are high as failure could reshape the AI landscape dramatically.
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