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“Code Red”: Sam Altman Orders Overhaul of ChatGPT as AI Competition Heats Up

OpenAI has declared a “code red” to prioritize major improvements to ChatGPT’s speed, reliability, and personalization, pausing other projects as competition intensifies.

OpenAI CEO Sam Altman has reportedly issued a “code red” alert, instructing staff to prioritize upgrades to ChatGPT — focusing on speed, reliability, personalization, and broader performance improvements.

According to internal communications cited by The Wall Street Journal and subsequent media coverage, other initiatives — including advertising plans, AI agents for health and shopping, and certain new product developments — are being delayed to concentrate resources on enhancing ChatGPT’s core experience.

What’s Driving the Red Alert

The move comes amid intensifying competition in the AI arena. Rivals such as Gemini 3 — from Google — have recently made headlines for strong benchmark performance and rapid feature development

Despite ChatGPT’s widely reported scale — over 800 million weekly users — OpenAI is under pressure to maintain performance standards, especially as infrastructure and operating costs continue to mount.

What OpenAI Is Prioritizing

According to the memo, the core focus areas for ChatGPT revisions are:

  • Improved speed and responsiveness
  • Greater reliability and uptime
  • Enhanced personalization of user experience
  • Expanded scope and versatility of conversation coverage

Projects such as advertising integrations, specialized AI agents for shopping or health, and a personal assistant product (codenamed “Pulse”) have been paused — at least temporarily — to free up engineering and development capacity for the overhaul.

Industry Implications & What Comes Next

The “code red” reflects how quickly the competitive landscape is shifting in AI — even dominant players are forced to re-evaluate priorities when rivals close the gap. For businesses and developers relying on ChatGPT and related tools, this could signal a period of meaningful updates and improvements.

At the same time, the delay of other initiatives suggests a consolidation of focus: OpenAI appears committed to fortifying core capabilities before expanding its product and monetization ambitions.

The upcoming weeks and months will likely be critical: improvements to ChatGPT could shape user retention, investor confidence, and the broader strategic direction of AI in 2026 and beyond.


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