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OpenAI CEO Sam Altman issues ‘code red’ to improve ChatGPT: report


OpenAI CEO Sam Altman declared a “code red” effort within his company to improve the quality of ChatGPT, The Wall Street Journal reported, citing an internal memo. 

In the document, Altman said OpenAI has more work to do on enhancing the day-to-day experience of its chatbot, such as allowing it to answer a wider range of questions and improving its speed, reliability and personalization features for users, the newspaper reported.  

The reported company-wide memo from Altman comes as competitors have narrowed OpenAI’s lead in the AI race, with Google last month releasing a new version of its Gemini model that surpassed OpenAI on industry benchmark tests. 

To focus on the “code red” effort to improve ChatGPT, OpenAI will be pushing back work on other initiatives, such as a personal assistant called Pulse, advertising and AI agents for health and shopping, Altman said in the memo, according to the Journal.

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Sam Altman, chief executive officer of OpenAI Inc., is seen during the AI Action Summit in Paris, France, on Tuesday, Feb. 11, 2025.  (Nathan Laine/Bloomberg via Getty Images / Getty Images)

Altman also said the company would have a daily call among those responsible for enhancing ChatGPT, the newspaper added. 

“Our focus now is to keep making ChatGPT more capable, continue growing, and expand access around the world — while making it feel even more intuitive and personal,” Nick Turley, the head of ChatGPT, wrote on X on Monday night.  

OpenAI currently isn’t profitable and has to raise funding to survive, compared to competitors like Google that can fund investments in their AI ventures through revenue, the Journal reported. 

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OpenAI ChatGPT logo depicted on a phone screen.

In this photo illustration, the OpenAI logo is seen displayed on a mobile phone screen with the ChatGPT logo in the background.  (Idrees Abbas/SOPA Images/LightRocket via Getty Images / Getty Images)

The newspaper also cited Google as saying Gemini’s monthly active users have climbed from 450 million in July to 650 million in October, following the release of an image generator. OpenAI is also facing pressure from Anthropic, a San Francisco-based company best known for developing the Claude family of chatbots, it added. 

OpenAI reportedly has a user base of more than 800 million weekly users. 

In the memo, Altman noted that OpenAI is planning to release a new reasoning model next week that is ahead of Google’s latest Gemini model, the Journal reported. 

Sam Altman holds cup while on lunch break at conference in Washington, D.C.

OpenAI CEO Sam Altman looks on as he takes a lunch break during the Federal Reserve’s Integrated Review of the Capital Framework for Large Banks Conference in Washington, D.C., on July 22, 2025.  (Ken Cedeno/Reuters / Reuters)

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The company uses color codes of yellow, orange and red to describe the levels of urgency needed to combat problems, people familiar with the matter told the newspaper. 

FOX Business’ Morgan Phillips contributed to this report. 



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