OpenAI and Anthropic are cutting their AI prices. One reason is the growing popularity of cheaper open-weight models, particularly from Chinese developers, among enterprise customers. OpenAI has reduced the price of its GPT-5.6 Luna model by up to 80 percent, while Anthropic is promoting Opus 5 as a more affordable frontier model.

Businesses are increasingly shifting certain workloads to cheaper model alternatives. When choosing AI models, they are placing greater emphasis on finding the right balance between performance, security, compliance, and cost. This trend poses a threat to the profitability of leading AI companies, especially as computing costs continue to rise and both firms prepare for potential IPOs.