OpenAI's chief, Sam Altman, has reportedly told employees he was declaring a "code red" to improve ChatGPT and was planning to delay other initiatives, such as advertising, The Information and The Wall Street Journal (WSJ) reported, citing an internal memo.
OpenAI hasn't publicly acknowledged it is working on selling ads, but it is testing different types of ads, including those related to online shopping, The Information said on Monday, citing a person with knowledge of its plans.
Altman reportedly also said OpenAI had more work to do on the day-to-day experience of its chatbot, including improving personalization features for users, increasing its speed and reliability, and allowing it to answer a wider range of questions.
The companywide memo is the most decisive indication yet of the pressure OpenAI is facing from competitors that have narrowed the startup’s lead in the AI race, the WSJ report said.
Of particular concern to Altman is Google, which released a new version of its Gemini AI model last month that surpassed OpenAI on industry benchmark tests and sent the search giant's stock soaring, it added.
Altman also said OpenAI would be pushing back work on other initiatives, such as advertising, the report indicated.
The company, long seen as the leader in the artificial intelligence race, which largely kicked off with the launch of its ChatGPT bot three years ago, is facing difficulties ranging from analysts' questions about its profitability to several lawsuits, including those accusing it of copyright infringement and alleged harm to users.