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Sam Altman: OpenAI CEO Announces 'Code Red' Amid Fierce AI Competition

OpenAI CEO Sam Altman declared 'Code Red' in December 2025, following stiff competition from Google Gemini 3. Here are the full details!

Liputan6.com, Jakarta - Sam Altman, CEO of OpenAI, officially declared his company "Code Red" status in early December 2025.

As reported by The Independent, this announcement was made via an internal memo to all employees and marked a response to the increasing competition in the artificial intelligence (AI) market.

This drastic move was prompted by Google's Gemini 3 model, which reportedly outperformed ChatGPT in several key benchmarks, as well as mixed reviews of the previous GPT-5 release.

This "Code Red" instructed employees to prioritize improvements to ChatGPT's core experience, including personalization, speed, and reliability, while postponing non-essential projects.

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Code Red: Intense AI Competition Warning

The primary trigger for the "Code Red" declaration was the intense AI competition, especially after Google launch the Gemini 3 model in November 2025.

Google's latest model reportedly outperformed ChatGPT in various key metrics, prompting Salesforce CEO Marc Benioff to publicly state he had switched to Gemini 3 due to its "incredible leaps" in reasoning, speed, image, and video processing.

This situation was exacerbated by the less-than-satisfactory reception of GPT-5, OpenAI's major release in August 2025.

Users complained that the model felt "clinical" and performed worse in math and geography than previous versions.

Besides Google, OpenAI also faces serious threats from other competitors who continue to innovate.

Companies like Anthropic with Claude Opus 4.5, Meta with LLaMA, and DeepSeek are intensifying competition, challenging OpenAI's long-held market dominance.

Although OpenAI is expected to reach annual revenues exceeding $20 billion by the end of 2025, the company is still losing money and has committed $1.4 trillion in data center investments over the next eight years.

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OpenAI's Strategy to Keep ChatGPT's Domination

In his "Code Red" memo, Sam Altman instructed employees to prioritize improvements to the core ChatGPT experience.

The primary focus will be on personalization, speed, reliability, and the ability to answer a wider range of questions.

This makes other projects to be halted, including the development of AI agents for healthcare and shopping, and a personal assistant called "Pulse."

OpenAI also plans to release a new reasoning model shortly after the "Code Red" memo is announced.

Nick Turley, head of ChatGPT, reiterated the company's commitment to making ChatGPT more capable, continuously evolving, and expanding access globally.

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Shifting Roles and Future Challenges

Three years earlier, in December 2022, Google issued a "Code Red" after the viral launch of ChatGPT, which was perceived as an existential threat to Google Search.

This sudden shift in focus and resources is expected to cause some disruptions or errors within the ChatGPT ecosystem.

Some users have reported issues such as screen flickering, slowdowns, and deleted messages, indicating internal turmoil during the transition.

Despite facing a "Code Red" situation, OpenAI is still offering various attractive promotions in December 2025, such as a free trial of ChatGPT Plus through partnerships and holiday promo codes.