OpenAI is considering lower prices as competition heats up

OpenAI is weighing major cuts to the prices it charges for access to its artificial intelligence models, according to a Wall Street Journal report that cited people familiar with the matter. The move would come as the ChatGPT maker looks to strengthen its position against Anthropic, its fast-rising rival in the AI market.

The Journal reported that OpenAI is evaluating significant reductions in the cost of tokens, the units AI companies use to meter and bill usage of their products. The company is also reportedly anticipating that Anthropic may lower its own prices, adding to the pressure on both firms as they compete for users and enterprise customers.

OpenAI did not immediately respond to a request for comment, according to the report.

Pricing remains a key battleground

At present, OpenAI offers several subscription tiers for consumers, including plans priced at $8, $20 and $100-plus per month for access to its flagship GPT-5.5 models. Anthropic’s consumer pricing includes a Claude Pro plan at $17 per month with an annual subscription and a Claude Max tier starting at $100 per month.

The potential changes underscore how pricing has become a central part of the rivalry between the two companies. Both OpenAI and Anthropic are trying to attract and retain users in a market where model quality, speed, and cost all matter. Lower prices could make AI tools more accessible to individuals and businesses, while also putting pressure on rivals to respond.

The reported discussions come as the competitive stakes rise. OpenAI confidentially filed for an initial public offering with the U.S. Securities and Exchange Commission on Monday, shortly after Anthropic made its own IPO filing public. The near-simultaneous moves point to a broader shift in the sector as leading AI companies prepare for greater scrutiny from public markets.

Valuations and user growth add to the stakes

Anthropic recently completed its Series H funding round at a $965 billion valuation, which slightly exceeded OpenAI’s $852 billion valuation from March. Those figures highlight how closely matched the two companies have become as investors continue to place enormous bets on the future of generative AI.

OpenAI also has a major user base working in its favor. ChatGPT became the first app to reach 1 billion monthly users in May, roughly three years after launch in November 2022, according to estimates from Sensor Tower. That pace outstripped Google Maps, which reached the same milestone in about five years.

For now, the reported pricing review suggests OpenAI is looking beyond growth alone and focusing on what it may take to preserve its lead. If token prices do fall, the decision could reshape the economics of AI access and set off another round of pricing pressure across the industry.