OpenAI May Slash AI Pricing to Compete With Anthropic, Report Says

OpenAI recently confirmed that it has confidentially filed for an initial public offering (IPO), but the company may also be preparing another major move as competition in the AI market heats up.

According to a report from The Wall Street Journal, OpenAI is considering significant price cuts for its AI services in an effort to compete more aggressively with Anthropic. The report says the company is evaluating lower token pricing, the usage-based billing system commonly used across the AI industry.

The potential pricing changes appear to be part of a broader strategy to attract customers as AI providers battle for market share. OpenAI reportedly expects Anthropic to lower its own prices and is exploring ways to stay competitive if that happens.

AI pricing competition is heating up

The AI industry has become increasingly competitive over the past year as companies race to attract both enterprise and consumer users.

Anthropic has gained significant momentum recently after reaching a reported $965 billion valuation and launching Claude Fable 5, which the company describes as its most capable publicly available model to date. The release has further intensified competition among leading AI developers.

OpenAI remains the market leader in consumer AI subscriptions, but rivals have continued to close the gap by introducing new models, enterprise features, and alternative pricing structures.

The Wall Street Journal report suggests OpenAI is closely monitoring Anthropic’s pricing strategy and may respond proactively rather than waiting for competitors to make the first move.

What OpenAI and Anthropic currently charge

At the moment, OpenAI offers several consumer subscription tiers.

Current OpenAI plans include a lower-cost entry plan priced at around $8 per month, ChatGPT Plus for $20 per month, and higher-end plans that cost $100 or more per month.

These subscriptions provide access to OpenAI’s flagship GPT-5.5 models, along with additional usage limits and premium features depending on the plan.

Anthropic currently offers Claude Pro, which costs $17 per month when billed annually, as well as Claude Max, which starts at more than $100 per month.

Both companies also generate significant revenue from API access, where developers are charged based on token usage rather than fixed monthly subscriptions.

No official pricing changes yet

Despite reports that OpenAI is evaluating price reductions, the company has not announced any new pricing plans.

The discussions appear to remain internal, and there is no confirmation that any proposed cuts will ultimately be implemented. However, the report highlights how rapidly competition is evolving among AI providers as OpenAI, Anthropic, and other companies seek to expand their customer bases.