OpenAI and Anthropic Cut Prices as Chinese AI Competitors Rise

OpenAI and Anthropic are lowering prices on their AI models to hold onto cost-sensitive customers who are turning to cheaper alternatives from Chinese developers. Rising AI expenses have pushed companies to reduce usage and seek more affordable options, allowing firms like Moonshot and DeepSeek to attract users globally. OpenAI announced an 80% price cut for its fastest and most affordable model, GPT-5.6 Luna, while Anthropic introduced Claude Opus 5 at half the price of its flagship Fable 5 model.

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