The AI rivalry between Elon Musk and OpenAI reignited on Thursday after the company unveiled its latest model, GPT-5. Musk, CEO of xAI, dismissed the hype, claiming his Grok 4 Heavy remains the “most powerful AI” and promising the release of Grok 5 by year-end. He also warned Microsoft CEO Satya Nadella that OpenAI would “eat Microsoft alive.”
Nadella responded with composure, calling competition part of the innovation journey and expressing excitement for Grok 4 on Azure and the upcoming Grok 5. Musk, meanwhile, announced Grok’s new Imagine feature for free video and image generation—contrasting with rivals who typically lock video tools like Sora and Veo 3 behind paywalls.
OpenAI CEO Sam Altman hailed GPT-5 as “smarter, faster, and more useful,” likening it to conversing with a “PhD-level expert.” The model boasts improvements in coding, math, writing, health, and visual perception, with free access for ChatGPT users and higher limits for paid tiers. Through OpenAI’s partnership with Microsoft, GPT-5 will power Microsoft 365 Copilot, GitHub Copilot, Azure AI Foundry, and the Copilot app.
While OpenAI touts GPT-5’s enhanced reasoning and honesty, ethics experts caution that its capabilities may be overstated and highlight the widening gap between AI’s power and effective governance.
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