OpenAI's leadership has reportedly sounded the alarm internally, declaring a state of emergency over the competitive pressures facing its flagship product, ChatGPT. The move comes as rival AI models, particularly from tech giant Google, demonstrate significant advances.
The Internal Memo and 'Code Red' Alert
According to reports from Wednesday 3 December 2025, OpenAI's chief executive Sam Altman circulated an internal memo describing the situation as a "code red." This urgent directive was prompted by mounting evidence that ChatGPT's capabilities need substantial improvement to maintain its market position. The internal communication highlighted that the AI assistant's quality must be enhanced rapidly to keep pace with developments from competitors.
Google Gemini Surges Ahead in Benchmarks
The primary catalyst for this internal alarm is the performance of Google's latest AI model, Gemini 3. Independent evaluations and benchmark tests have shown that Gemini 3 has not only matched but surpassed ChatGPT in various key metrics. The model has garnered widespread praise from the tech community for its advanced reasoning, multimodal understanding, and overall capability.
Privately, Sam Altman has acknowledged that ChatGPT had fallen behind Google's offering. However, he struck a determined tone, insisting that the OpenAI team is "catching up fast" and is fully mobilised to close the gap. This admission marks a significant shift in the public narrative surrounding the two AI giants.
OpenAI's Response and Future Focus
Despite the internal concerns, OpenAI's public-facing message remains confident. Nick Turley, the head of ChatGPT at OpenAI, affirmed that their product continues to be the "number one AI assistant worldwide" by user adoption and recognition. Turley stated that the team's unwavering focus is on making ChatGPT more capable, intuitive, and useful for its global user base.
The declaration of a 'code red' suggests a major internal reallocation of resources and urgency. It follows the recent launch of GPT-5, OpenAI's first flagship update to the ChatGPT model in years, indicating that the company is in a critical phase of development and competition. The race for AI supremacy is intensifying, and OpenAI is now in a pivotal fight to retain its lead.
