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OpenAI to launch GPT-5 and GPT-4.5

PLUS: Musk's $97.4 Billion OpenAI Bid

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Howdy! It’s Barsee again.

Happy Thursday, AI family, and welcome back to AI Valley.

In today’s edition:

  • OpenAI to launch GPT-5 and GPT-4.5

  • Musk's $97.4 billion OpenAI bid

  • Plus trending AI tools, posts, and resources

Ready, set, go…

AI ROADMAP

OpenAI to launch GPT-5 and GPT-4.5

(Image Source: OpenAI)

On Thursday, OpenAI CEO Sam Altman shared a roadmap update for the upcoming generative AI models GPT-4.5 and GPT-5 with plans to make AI “just work” without complex user configurations.

Here's what you need to know: 

  • GPT-4.5, referred to internally as Orion, is expected to launch in the coming weeks as the final model without chain-of-thought reasoning (AI which is generally weaker in areas like math and physics.)

  • GPT 4.5 is set to improve performance and efficiency while retaining the strengths of GPT-4, streamlining OpenAI’s product lineup in preparation for GPT-5.

  • The planned o3 model has been merged into GPT-5, meaning OpenAI will no longer release it as a separate model.

  • GPT-5 will bring together several AI capabilities, including multimodal understanding, voice interactions, deep search functionality, and expanded agentic capabilities.

  • GPT-5 will also fully adopt a new approach: chain-of-thought reasoning, which allows AI to tackle complex problems through multi-step, human-like reasoning. 

  • Experts suggest GPT-5 may function as a "router model," directing internal sub-models as needed. Users will interact with GPT-5 as usual, but it will dynamically access tools like search, calculations, or code interpretation for optimal results.

  • Free users of ChatGPT will gain unlimited access to GPT-5 at a standard level, though with certain abuse thresholds in place. Meanwhile, Plus and Pro subscribers will have access to GPT-5 at progressively higher levels of intelligence.

  • While GPT-4.5 is set to launch in the coming weeks, GPT-5’s release date remains unconfirmed. However, it is expected to follow shortly after GPT-4.5.

Why it matters:

OpenAI’s roadmap centers on a simple philosophy: “making AI just work.” Instead of choosing models or settings, users will ask questions, and AI will handle the rest like driving without knowing engine mechanics or using a phone without configuring settings.

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(Image Source: Flow AI)

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SIDE UPDATES

The EU Commission unveiled "InvestAI," a €200 billion initiative at the Paris AI Action Summit, aiming to strengthen Europe’s AI capabilities and compete with the US and China. The plan includes €20 billion for gigafactories and four AI computing centers with 100,000 advanced chips, funded via EU programs and member states. These centers, open to all companies, will drive innovation in medicine, science, and other fields through public-private partnerships.

Elon Musk has offered 97.4 billion to acquire OpenAI, pressuring its board to reassess its valuation. OpenAI is negotiating Microsoft’s equity stake in its for-profit arm, a complex process requiring approval from California and Delaware attorneys general. CEO Sam Altman views Musk’s bid as a tactic to slow OpenAI’s progress, adding tension to the organization’s strategic decisions. Here’s Sam Altman’s reply to Elon Musk’s $97.4 billion offer.

The UK and US declined to sign an international AI declaration at the Paris summit, where 61 countries committed to ethical AI development. Both nations cited concerns over national security and overregulation. The UK highlighted gaps in global governance clarity, while US Vice President JD Vance warned Europe’s strict AI rules could stifle innovation, underscoring differing approaches to AI policy.

According to recent reports, Elon Musk's xAI company is preparing to launch its advanced chatbot, Grok 3, within the next 1-2 weeks, with Musk claiming it has outperformed all existing chatbot models in testing phases. “Trained with the most amount of compute,” Elon Musk said, adding, “a lot of synthetic data.”

Three individuals with Neuralink implants have collectively used the technology for over 4,900 hours across 670 days. All three, paralyzed and unable to move their limbs, have seen transformative improvements in their lives. Their stories highlight how the Link enables tasks previously impossible, offering a glimpse into the potential of brain-computer interfaces to enhance independence and quality of life.

TRENDING TOOLS

  • Natura AI > AI People who remember, evolve, and understand you (no screens, no starting over with each conversation.) *

  • Riveter > AI for spreadsheets.

  • Pickle > Your AI body double for video calls.

  • Zyphra Zonos > Highly expressive AI voice model with high fidelity voice cloning.

  • Napkin AI > A design platform that mimics the operations of a full-service creative agency using AI agents.

  • Bolt + Expo > Turn your ideas into mobile apps without writing any code.

  • Talo > Real-time AI voice translator for video-calls.

  • Le Chat > Your AI assistant for life and work.

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THAT’S ALL FOR TODAY

That’s all for today’s issue, folks.

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