OpenAI and Anthropic slash prices as Chinese AI rivals gain ground

Leading US AI labs OpenAI and Anthropic are cutting prices on their latest models to retain customers increasingly turning to cheaper alternatives from Chinese developers. Rising AI costs have pushed companies to reduce usage and seek more affordable options, helping firms like Moonshot and DeepSeek attract users globally.

OpenAI announced an 80% price cut for its GPT-5.6 Luna model, while Anthropic launched Claude Opus 5 at half the cost of its flagship Fable 5. The moves reflect intensifying competition in the AI market.

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