OpenAI is reportedly considering significant reductions in the prices it charges for paid access to its artificial intelligence models, according to sources cited by the Wall Street Journal. This move is seen as a direct response to mounting competition from Anthropic, which is also expected to implement similar price cuts. OpenAI currently offers tiered subscription plans for its flagship GPT-5.5 models, with prices set at $8, $20, and $100 or more per month. In comparison, Anthropic charges $17 per month for an annual subscription to Claude Pro and $100 or more monthly for Claude Max [1].
The competitive landscape between OpenAI and Anthropic has intensified, with both companies recently filing confidentially for initial public offerings with the U.S. Securities and Exchange Commission. Anthropic completed its Series H funding round on May 28, achieving a valuation of $965 billion, which slightly surpasses OpenAI's $852 billion valuation as of March [1].
In terms of user adoption, ChatGPT, developed by OpenAI, became the first app to reach 1 billion monthly app users in May 2026, approximately three years after its launch in November 2022. This milestone outpaced the previous record held by Google Maps, which took about five years to reach the same number of users, according to estimates from Sensor Tower [1].
The potential price cuts by OpenAI are aimed at attracting more users and maintaining its competitive edge as both companies vie for market leadership in the rapidly evolving AI sector. The report did not include any official comments from OpenAI regarding the possible price changes [1].
CONCLUSION
OpenAI's consideration of sharp price cuts signals an escalating battle for market share with Anthropic, especially as both companies prepare for IPOs and compete for users. The rapid growth in ChatGPT's user base and the high valuations of both firms underscore the significance of this rivalry for the AI industry.