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Elon Musk Cautions Nadella on OpenAI Post-GPT-5 Debut, Microsoft CEO Fires Back

CIO Insider Team | Friday, 8 August, 2025
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xAI CEO Elon Musk was not too happy when he saw his greatest rival OpenAI publishing its next GPT-5 model.

The subsequent hours saw Musk sending out a flurry of tweets and pronouncements that his company still had the ‘most powerful AI’ model in its Grok 4 Heavy model, and that the AI lab was going to release a Grok 5 model soon.

Musk also took to X (formerly Twitter) to advise Microsoft Chief Satya Nadella against doing business with OpenAI because ChatGPT maker ‘was going to eat Microsoft alive’.

Nadella reacted to this message with customary composure one expects of the Microsoft leader saying, “People have been attempting it for over 50 years and that is part of the fun of it! You discover something new each day, you innovate, partner and compete. Cool, Grok 4 on Azure and I cannot wait for Grok 5!”

In the meantime, Musk has also declared that his new Imagine video and image-generating feature in Grok is made free to anyone now.

Similar to most of the OpenAI model releases, In the standalone Copilot app with GPT-5, users ought to have an enhanced capacity to use compared to the one disclosed by OpenAI on ChatGPT.

Remarkably, even OpenAI, Google and others already offer to generate images on a free basis, their video generation tools such as Sora and Veo 3 tend to be possessed with a paywall.

OpenAI's GPT-5 comes with a reported improvement in a number of areas compared to the previous models including coding, math, writing, health, and visual perception. The new model will be available for free to all ChatGPTusers with paid users getting a higher usage limit. But OpenAI had an alliance with Microsoft that implies GPT-5 will also reach the Microsoft ecosystem of apps such as Microsoft 365, Copilot, GitHub Copilot, and Azure AI Foundry.

Similar to most of the OpenAI model releases<, In the standalone Copilot app with GPT-5, users ought to have an enhanced capacity to use compared to the one disclosed by OpenAI on ChatGPT. In addition, GPT-5 is already accessible in the Copilot site where customers can test the program whereas OpenAI might take several days before it can be available to all users.



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