Elon Musk warns Satya Nadella as OpenAI rolls out GPT-5 with major AI upgrades, challenging Microsoft’s dominance.
OpenAI on Thursday announced the launch of ChatGPT-5, making the powerful new model free for all users. The rollout immediately sparked a fresh exchange between Tesla CEO Elon Musk and Microsoft chief Satya Nadella.
Musk warned Nadella that OpenAI could “eat Microsoft alive” as the Sam Altman-led company’s latest AI model hit global platforms.
Microsoft Integrates GPT-5 Across Its Ecosystem
Microsoft confirmed GPT-5’s integration into:
- Microsoft 365 Copilot
- Copilot Chat
- GitHub Copilot
- Azure AI Foundry
“This is the most capable model yet from our partners at OpenAI,” Nadella said. “It brings powerful advances in reasoning, coding, and chat — all trained on Azure.”
Nadella reflected on the journey since GPT-4’s debut in Bing, calling the progress “incredible” and predicting accelerated development in the years ahead.
Musk–Nadella Exchange Over AI’s Future
Responding to Musk’s remark that GPT-5 could dominate Microsoft, Nadella replied:
“People have been trying for 50 years — that’s the fun of it! Each day you learn something new, innovate, partner, and compete. Excited for Grok 4 on Azure and looking forward to Grok 5!”
Musk, who backs the Grok AI platform, countered: “Except that Grok 4 Heavy is still the most powerful AI.”
Early Reactions from the Tech World
- Cursor AI, an AI-powered code editor based on Visual Studio Code, announced GPT-5 integration, calling it “the most intelligent coding model our team has tested.”
- The platform is offering GPT-5 free “for the time being.”
Musk Defends Grok in AI Race
Musk, who backs the Grok AI platform, countered the hype around GPT-5 by stating, “Except that Grok 4 Heavy is still the most powerful AI.”
His comment underscores the fierce rivalry in the AI space, with Grok, OpenAI, and Microsoft all pushing to outpace one another in the race toward more capable and intelligent models.
Sam Altman on GPT-5’s Capabilities
OpenAI CEO Sam Altman described GPT-5 as “generally intelligent” and “a significant step toward AGI” (artificial general intelligence), though it still does not learn continuously.
Altman compared AI progress across versions:
- GPT-3: like a high school student
- GPT-4: like a college student
- GPT-5: like a PhD-level expert
He said GPT-5 excels at autonomous agent tasks and vibe coding — the ability to generate apps on demand.
Altman’s “Manhattan Project” Moment
Speaking on a podcast, Altman revealed that GPT-5 flawlessly solved a complex email problem that had stumped him.
“It was a weird feeling — I felt useless,” he admitted.
He compared the experience to the Manhattan Project, suggesting GPT-5 could have “permanent effects” on society, though not in a destructive way.
Global AI Competition Intensifies
The free release of GPT-5 marks another escalation in the AI race, with tech giants competing to dominate the next wave of machine intelligence.
Musk’s warning and Nadella’s confidence underline the high-stakes battle for leadership in the AI era.
With GPT-5 now in the hands of millions, the AI race between OpenAI, Microsoft, and Musk’s Grok is heating up like never before. Whether this latest leap will truly “eat Microsoft alive” or push the tech giants into deeper collaboration remains to be seen—but one thing is certain: the future of AI just got a lot more competitive.
