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GPT-5: Seven Strategic Shifts for Business Leaders After OpenAI’s Landmark Release
The landscape of AI-powered operations shifted significantly as OpenAI announced the rollout of GPT-5 to 700 million users. This unprecedented access to a high-performing model signals key changes that business owners and decision-makers must now recognize and exploit. Below, seven specific trends and value levers from the Everyday AI podcast are unpacked, offering direct insight into how GPT-5 is reshaping the foundational AI capabilities available to organizations of all sizes.
What is ChatGPT5?
Released on August 7, 2025, ChatGPT-5 (GPT-5) is OpenAI’s newest flagship AI model, now available in ChatGPT, Microsoft Copilot, and the OpenAI API. It’s designed to be smarter, faster, and more accurate than previous versions, with advanced reasoning abilities, stronger coding and writing skills, and a new dynamic “thinking” mode that adjusts the depth of responses based on question complexity. OpenAI positions it as capable of PhD-level work in math, science, law, finance, and more, while also improving speed and contextual understanding.
What are the Benefits of Using ChatGPT5?
- Intelligent Task Routing – Switches between quick responses and deep “thinking mode” for complex prompts.
- Enhanced Accuracy & Reasoning – Better problem-solving, fewer hallucinations, improved step-by-step logic.
- Advanced Capabilities – Stronger coding, writing, and multi-disciplinary expertise.
- Wider Integration – Embedded in ChatGPT, Microsoft Copilot, upcoming Apple OS releases, and enterprise tools like Notion and Uber.
- Access Levels – Free users get basic access; Plus and Pro tiers offer more usage, with Pro including limited GPT-5 Pro access.
- API Variants – Includes gpt-5-main, gpt-5-main-mini, gpt-5-thinking, and other specialized versions.
Is ChatGPT5 Free?
- There is a free version of ChatGPT5
- The Plus version of ChatGPT5 is $20 / month.
- ChatGPT5 Pro is $200 / month.
How to Get the Most Out of ChatGPT 5
To get the most out of GPT-5, start by being as clear and specific as possible in your prompts. Tell it exactly what you want, why you need it, and any limits or preferences—this helps GPT-5’s reasoning mode give you answers that are both accurate and relevant. Using a “role + task” approach is especially effective; for example, begin with “You are an experienced business strategist…” before stating your request. For complex questions or projects, encourage it to “think step-by-step” or “explain the reasoning first,” which engages its deeper analysis mode.
You’ll also get better results if you treat GPT-5 as a collaborator rather than a one-shot answer machine. Provide context from earlier conversations or reference materials so it can maintain consistency, and don’t be afraid to iterate—ask it to expand, simplify, or adjust tone until the result fits your needs. Since GPT-5 can handle a much longer context, you can build on previous exchanges without starting from scratch.
Finally, push GPT-5 beyond basic Q&A. Use it to design frameworks, templates, and processes you can reuse, request multiple variations to compare ideas, and pair its output with your own tools or platforms to put plans into action. With this approach, you’ll not only get faster, more accurate responses but also unlock GPT-5’s full potential for creativity, strategy, and problem-solving.
ChatGPT5 Use Case Scenarios
| GPT-5 Feature / Strength | Use Case Category | Example Applications |
|---|---|---|
| Advanced Reasoning & Step-by-Step Thinking | Strategic Planning & Decision-Making | - Develop a 12-month marketing strategy for a startup, including budget allocations and KPIs.- Create risk assessment reports for investment opportunities.- Prioritize product features based on market research and customer feedback. |
| Extended Context Window | Large Document Analysis & Summarization | - Review and summarize 200+ page legal agreements.- Compare and condense multiple academic studies into a literature review.- Compile multi-source competitive analysis into a single executive brief. |
| Dynamic “Thinking Mode” | Complex Problem Solving | - Troubleshoot intricate software errors with multi-step logic.- Plan city infrastructure upgrades based on environmental and budget constraints.- Develop operational process maps for manufacturing efficiency. |
| Tone & Style Adaptation | Professional Writing & Editing | - Draft client proposals in formal business language.- Rewrite blog content for a more casual, engaging tone.- Localize content for different cultural audiences. |
| Superior Coding & Debugging Skills | Software Development & Maintenance | - Generate backend API endpoints for a web app.- Convert Python code into Rust or JavaScript.- Identify and fix performance bottlenecks in codebases. |
| Multi-Format Output (text, tables, pseudo-code) | Data Presentation & Reporting | - Build quarterly performance reports with charts and tables.- Produce step-by-step technical SOPs for IT teams.- Create visual mind maps from brainstorming sessions. |
| Creative Storytelling & Ideation | Marketing, Entertainment & Content Creation | - Develop a fictional universe for a game or novel.- Generate multi-platform marketing campaign ideas.- Write engaging ad copy with variations for A/B testing. |
| High-Quality Summarization | Knowledge Management & Training | - Summarize internal training manuals into quick-start guides.- Create executive summaries of weekly project updates.- Turn recorded meetings into actionable bullet points. |
| Improved Multimodal Understanding (if paired with image/audio tools) | Design & Visual Workflows | - Suggest UI improvements based on screenshots.- Extract key details from scanned documents.- Provide design critiques for marketing creatives. |
| Consistent Contextual Memory | Customer Support & Virtual Assistance | - Maintain multi-turn customer support chats without losing context.- Guide users through multi-step troubleshooting.- Handle follow-up queries referencing past conversations. |
| Cross-Disciplinary Expertise | Education & Learning Support | - Tutor students in math, science, and literature.- Provide career coaching with resume and cover letter feedback.- Explain complex concepts at multiple skill levels. |
| Rapid Iteration Capabilities | Creative Brainstorming & Innovation | - Generate 20+ product name ideas in different styles.- Suggest improvements to an early-stage business idea.- Draft multiple versions of a landing page headline. |
| Structured Output Control | Workflow Automation & AI Integration | - Feed structured data to CRM or ERP systems.- Generate JSON or CSV outputs for automation tools.- Create content formatted for direct publishing to CMS platforms. |
1. The “Floor” Just Skyrocketed—Why Free Users are the Biggest Winners
The most impactful shift isn’t only in the sophistication of GPT-5 for advanced users, but in the democratization of access to elite-level AI. GPT-5’s rollout, even to free accounts, puts capabilities previously restricted to paid or power users in every registered user’s hands. The previous free tier relied on the GPT-4O model, which lagged significantly behind in reasoning, planning, and factual accuracy. Now, base-level users experience a leap that is likened to advancing from the earliest iPhone to the latest flagship device overnight. This means casual or infrequent users can implement more advanced AI-driven solutions—without a subscription or technical expertise.
2. Hybrid Model and Auto-Switching for Workflow Optimization
GPT-5 introduces a single, unified system: users no longer need to select specialized models (previously up to nine variants were available to paid subscribers). Instead, GPT-5 auto-detects whether a prompt requires a speedy topical answer or deep, multi-step reasoning and switches modes accordingly. For organizations, this means less friction for employees, higher consistency in responses, and the ability to “prompt engineer” on the fly for advanced outcomes. This auto-switching is similar to how Google’s Gemini 2.5 Pro operates, but GPT-5 enables manual overrides—users can request “quick answers” or instruct the model to think deeply and analytically, delivering tailored speed-to-value in operational workflows.
3. Microsoft Copilot and Enterprise-Grade Scale—A Historic AI Upgrade
The inclusion of GPT-5 in Microsoft’s Copilot suite transforms daily productivity for more than 100 million users overnight. Many organizations had not yet upgraded from the non-reasoning GPT-4O in their Copilot instances, meaning that entire workforces now automatically receive instant access to in-depth reasoning and hybrid capabilities—pending IT enablement. This seamless upgrade is positioned as the largest enterprise AI uplift to date, with implications for data analysis, document creation, and code generation.
4. Dramatic Improvements in Accuracy and Hallucination Rates
GPT-5’s technical advances have practical, bottom-line effects. OpenAI cites a reduction in medical question error rates from 13% to 1.6% and a 45% reduction in overall hallucinations compared to GPT-4. This means fewer misleading answers, improved safety for regulated industries, and greater reliability for business-critical uses such as legal, financial, or healthcare applications. Business leaders can now deploy AI in areas previously considered too risky due to model inconsistency.
5. API Access—Aggressive Pricing Reshapes the Competitive Field
API pricing for GPT-5 undercuts competitors substantially. For example, output on GPT-5 costs $10 per million tokens versus $75 for Anthropic’s Claude Opus 4.1, despite GPT-5 outperforming alternatives across almost all leading benchmarks. This pricing structure disrupts the economics of AI-powered product development, allowing software firms, SaaS providers, and internal IT teams to integrate superior models at a fraction of previous costs—unlocking budget for sustainable feature expansion or cost reduction at scale.
6. Vibe Coding and Canvas Mode—Low-Code Gains for Everyone
GPT-5’s enhanced “Canvas” feature propels the trend of Vibe coding (natural language-to-app workflows) into the mainstream. Even non-technical users can now instruct GPT-5, via simple prompts, to clone useful business applications (e.g., Slack, Google Sheets) in seconds, iterate, and deploy internal tools for niche workflows. For organizations stuck navigating clunky legacy systems, this is a transformative step toward custom solutioning—and higher productivity—using readily accessible AI.
7. GPTs as True, Personalized Subject Matter Experts
With GPT-5, the specialized GPTs—customized versions of ChatGPT—now receive full access to the flagship model and advanced voice mode. Teams can create tailored AI agents loaded with organizational knowledge (documents, data, procedures), which respond via natural, human-like conversation and advanced reasoning. This marks a milestone for knowledge management and the scaling of internal expertise—every employee can access a virtual “PhD-level” assistant, honed to the specific needs and communication style of the business.
What’s Next for Business AI?
Software across the business stack—CRMs, customer support bots, internal tools—is poised for an immediate upgrade as third-party vendors migrate from earlier OpenAI models to GPT-5 via API, improving reliability and interaction quality. The simplification of the user experience (single model access, auto-routing, and enhanced voice) reduces training friction and unlocks everyday use for workforces beyond IT and data science.
Crucially, the reliability gains, lowered hallucination risk, and expanded deployment in AI-powered tools are anticipated to shift corporate AI strategies from limited pilot programs to full-scale operationalization. Businesses that previously hesitated on AI, due to accuracy or cost, now face a vastly improved landscape for execution.
Topics Covered in This Episode:
- GPT-5 Official Release Overview
- GPT-5 User Rollout to 700 Million
- GPT-5 Unified Hybrid Model Architecture
- Auto Model Switching and User Control
- Major Upgrade for Free ChatGPT Users
- GPT-5 Benchmark and Accuracy Improvements
- GPT-5 Vibe Coding and Canvas Features
- Advanced Voice Mode in Custom GPTs
- Reduced Hallucinations and Sycophancy
- Microsoft Copilot Instant GPT-5 Upgrade
- Impact on Enterprise Software and APIs
- GPT-5 Disruptive API Pricing Structure
- Trends in Corporate AI Adoption
Keywords:
GPT-5, GPT5, OpenAI, AI model update, Large Language Model, flagship model, hybrid model, AI technology, model auto-switching, deep thinking mode, fast response mode, model router, free AI access, paid ChatGPT users, ChatGPT free users, model selection, GPT-4O, GPT-4 Turbo, model reasoning, hallucination rate, sycophancy reduction, advanced voice mode, GPTs custom models, Canvas mode, Vibe coding, API pricing, API tokens, Microsoft Copilot, Microsoft 365 Copilot, GitHub Copilot, enterprise AI upgrade, LM arena, ELO score, Anthropic, Claude 4.1, Claude Sonnet, Gemini 2.5 Pro, personalized AI assistant, software innovation, coding capabilities, Inc 5000 companies, enterprise adoption, custom instructions, Pro plan, Plus plan, thinking mode, human preference, automated reasoning, application integration, AI-powered apps, PhD-level AI, strategic AI deployment, accuracy improvements, critical tasks, error rate reduction
Podcast Transcript
700 million people are about to get access to a technology so powerful, we've quite literally never seen it before and we don't know what it'll mean. Let me repeat that. 700 million people now have access to OpenAI's newest model, GPT5. And it's actually pretty big. I can't understate it. Yes, it's going to be slowly rolling out.
Jordan Wilson [00:00:50]:
There's going to be outages over the first couple of days. But OpenAI just released, after a two and a half year waiting period, its next flagship model. And I think, yes, it's obviously very impressive for a power user like myself. I don't think the ceiling went up exponentially, but the floor has shot up to about where the previous ceiling was. So I'm going to be going over what I mean by that, telling you everything that's inside of the new GPT5, as well as filling you in on seven big trends that I think you need to know. I'm excited for today's show. I hope you are too. What's going on, y'? All? Welcome to Everyday AI.
Jordan Wilson [00:01:39]:
My name is Jordan Wilson and this is your daily live stream, podcast and free daily newsletter helping everyday business leaders like you and me not just keep up with AI and all these new model updates. And every single day there's an Alphabet soup of new things to try, but how we can actually take advantage of that, leverage that to grow our companies and our careers. So if that's what you're trying to do, you're in the right place. Starts right here with the unedited, unscripted, going live off the Hip Pod podcast and live stream. But if you want to take it to the next level, your cheat code, write it down. Your everyday AI dot com. That is our free daily newsletter. You're going to want to sign up.
Jordan Wilson [00:02:17]:
We're going to be recapping the highlights from today's show. Everything you need to know in GPT5 that maybe we didn't get time to get to in today's live stream, but also more than 780 episodes. You can go listen to learn from the smartest people in the world for free on our website. And if you want today's precious AI news aside from GPT5, make sure to go check that out in the newsletter. But let's get straight to it. GPT5 is here, if you're a paid customer, you probably should have access to it already. And it's going to be rolling out to free customers as well. So probably by the time you're listening to this on the podcast, you should have access for everyone else on the live stream.
Jordan Wilson [00:02:54]:
Yeah, it still might be a couple of hours, but the rollout should almost be complete. Like I said, For 700 million users are going to wake up today or tomorrow or later this week. So OpenAI just recently reported they have 700 million active weekly users. Active. That's just an insane amount of active users who now have access to an AI technology. Like I said, we've never seen it before. It is by far the best model out there. I mean, we'll see whether it's a couple of hours, a couple of days, days or a couple of weeks until Google responds.
Jordan Wilson [00:03:31]:
We know they're going to respond. But at least right now, literally, you have a huge fraction, a huge percentage of the world, that we have a technology and capabilities that we didn't have before. And I like to say capabilities, because I think sometimes when even I talk about large language models and AI, every single day, I think about the technology. But we also have to shift, I think our collective thinking on what this means, that we're now capable of us as humans, as business leaders that we weren't capable of before. And I think it's a lot. So, on today's show, here's what we're going to be going over. I'm going to tell you what's new inside of GPT5 and why free users are actually the biggest winners. I'm going to reveal why the biggest GPT5 wins won't be felt inside of ChatGPT itself.
Jordan Wilson [00:04:20]:
I'm going to forecast how this release will shake up the AI landscape. And I'm going to give you seven obvious and not so obvious trends and facts that are more important than you'd think with this new GPT5 update. All right, live stream audience, great to see y'. All. Happy Friday to you as well. Big bogey face Joining on the YouTube, Bronson. Everyone else, Brian and Jose. Thanks for joining us.
Jordan Wilson [00:04:46]:
Happy Friday from Chicago. Cecilia, good to see you. Douglas, Monica. Everyone else, if you do have any questions on GPT5, let me know. I'll start with this. Not a lot of people in the world have had access to this for very long. There are trusted testers that get access to it maybe a week or two before it comes out. For me personally, I've only been able to Play with this for a couple of hours.
Jordan Wilson [00:05:07]:
Our live stream audience might be able to see. I'm not my normal kind of home office studio. I'm actually traveling, so I have even less time to play with it than I would have normally if I was back in Chicago. So I, I have played with this for maybe about two or three hours since it came out. And let me just say this, it's really good, but let's get into all of the details before I start throwing out my opinion to you all. So first, one of the biggest differences, and I guess overall this is an improvement. This is something I'm not particularly a fan of, but there's just model switching now. So it's this auto switching, so you don't go in and choose a model you're not going to go in.
Jordan Wilson [00:05:54]:
And I believe that there was, what, nine models previously if you were on the highest tier plan. So now if you're a free or a basic user, you're going to see really only one or two models. And essentially GPT5 automatically chooses between fast responses or deep thinking modes. So this is very similar to how Google's Gemini 2.5 Pro works. The model itself essentially decides, hey, should I give you more of a fast topical answer or should I take 2, 3, 4, 10 minutes and really think about this deeply? There are ways that you can kind of manually override. So if it's taking longer than you would like it and you're like, wait, I just asked you a very simple question. Why are you thinking for three minutes? There's a little button that says, you know, essentially give me a faster answer. And then on the other side, if it's giving you a faster answer and you're like, wait, normally I would choose a model that would take much longer to figure this out with some simple prompt engineering, you know, you can, you know, just essentially tell it, like, hey, take longer, like take a lot of time to think about this.
Jordan Wilson [00:07:00]:
You should be thinking about this analytically and critically. You know, go through these multiple iterations in your processing, right? So you can still force it to think a little bit more. So at least for me, that's one of the biggest changes. Aside from, yes, the technologies are the better, the benchmarks, the, you know, the ELO scores, yes, all of that's better. But the biggest thing, I think the biggest change is just this. It's one model now, right? Which we've been, we've known this for a couple of months when CEO Sam Altman announced this about six months ago. So we knew that GPT5 was going to be more of a system and we're not going to have to go in there and, you know, necessarily select from anywhere between six to nine models, depending what plan you're on. Here's the other thing.
Jordan Wilson [00:07:45]:
This is free for everyone. Literally, this is free for everyone. I have, I think, six or seven different ChatGPT accounts. I think five of my accounts, including my free account, all had Access, or about 5 of the 7 had access to GPT5. So most people, you should have it. And again, 700 million weekly ChatGPT users have this. And this is why it's big. And I'm going to touch on this a little bit later.
Jordan Wilson [00:08:14]:
GPT-4O was not a good model, right? And a lot of people didn't realize that when using the free version, you had GPT-4O, which is a model that I literally do not use, and I haven't used it for a very long time, and I would advise other people not to use it. And that's not because it was a bad model in and of itself. That's just because compared to everything else that OpenAI had prior to yesterday, it was not a good model, right? If you needed speed, I would say, all right, well, go use 04 mini, right? A thinking model. I use thinking models 95% of the time, even when working with ChatGPT. So if I needed something quick, you know, not going to use o3 or o3 Pro, that may take two to 10 minutes, but I would use o4 mini, right? And get something in a couple of seconds. But that's why this is a huge jump, because GPT-4O not a great model, at least compared to everything else that was out there. So the majority of people even paid users, right? Even people who weren't novices. So many people use GPT-4 when I don't think people really should have.
Jordan Wilson [00:09:21]:
I've said that on the show before, I'm like, don't use GPT-4O, right? If you need a fast answer, like I said, there's reasoning models that are a little faster. So now that the floor is through, I think where the previous ceiling was. So that's why I can't understate how consequential this is to everyone's capabilities, because I'm sure, you know, I. I can remember Back to when GPT-4O was the best model that OpenAI and offered inside of ChatGPT, before the kind of reasoning craze before these O series models that can think and plan step by Step and of have a little bit of human logic. So now that free users have GPT5amodel that technically it is thinking it is a hybrid model, right it can switch back and forth. The floor, let me repeat that. The floor for a free user that maybe doesn't really know what they're doing I think is higher than the ceiling was for the average novice user. And like I said, what that does from a capability standpoint I don't think most people are going to be able to grasp what this ultimately means.
Jordan Wilson [00:10:41]:
It is for logged in users FYI. So I, I don't think I, I didn't get a chance to read the entire model card right because OpenAI put out a ton of information, a ton of videos. I'm still making my way through it, but I didn't see anything for non logged in users FYI. So logged in users have access to to GPT5 even on a free plan. It didn't say what non logged in users have access to. So it might be one of their nano GPT5 nano plans. So in the same way a lot of people don't know this on the free plan, you know, because everyone's like oh chat, GPT stinks. Well okay, how are you using it? Number one, you're not logged in.
Jordan Wilson [00:11:17]:
Okay, so that means you are actually using GPT-4O Nano, which is an even worse version of a not that great model. Uh, so again that's why I think we're gonna see such a huge bump and even people that were had a logged in plan who were previously using GPT-4O after a certain number of messages you just get knocked down to GPT-4O mini or you did previously. So like I said, this is a daily driver upgrade that is hard to comprehend. It's like you know, if you had the original iPhone I, you know, 15 years ago, however long it's been and then you had the iPhone 17 Pro, Max Plus Zenith, whatever it's called, right? That's the kind of jump we're talking about from what you had access to yesterday to what you have access to now. The other thing, Copilot. My gosh, talk about an instant glow up for Microsoft Copilot users. Because now millions of workers using Microsoft 365 copilot GitHub copilot teams, you get GPT5 automatically on launch day. Again, assuming your your IT company or your IT department can figure it out.
Jordan Wilson [00:12:31]:
This is the largest enterprise AI upgrade in history. Just like that a couple other and just kind of going over Kind of an overview here of what's new and noteworthy. Vibe coding, it's really good. I might show you depending on, on how long I accidentally make this show here. I just cloned slack in like 30 seconds this morning. Just taking a sip of water, sitting here on the couch, I'm like, ah, let me, let me test this out. Right? Really good. Can't clone Slack in 30 seconds with the old version of ChatGPT.
Jordan Wilson [00:13:09]:
Very impressive GPT5 on the vibe coding. And I think it's going to popularize Vibe coding even. All right, a couple other things to know. It is much more accurate on critical topics. So this is According to OpenAI, they said the medical question error rate dropped from 13% to 1.6%. Let me repeat that. The medical question error rate according to OpenAI dropped from 13% to 1.6%. That's huge.
Jordan Wilson [00:13:40]:
In overall, hallucination rates decreased by 45% with GPT5 compared to GPT-4, so about half the hallucinations and much more factually accurate. And on the coding side, this is a very impressive coding model and you may be thinking like, all right, Jordan, I don't care, I don't code well, you're going to be coding, right? If you listen to our 2025 AI kind of blueprint and predictions series I Talked about in 2025, non technical people are going to be coding apps that they're going to use themselves. This is it, right? Yes, it's been Vibe coding has been, you know, very popular for a year plus. There's plenty of great tools I love using. Personally, I love using Google Gemini's Canvas to kind of vibe code. Little pieces of software that I use for very niche purposes. But this is bringing it to the masses here, bringing it inside the ChatGPT platform. If you don't believe me, if you have a paid plan, go ahead and toggle on the thinking mode.
Jordan Wilson [00:14:48]:
I'm going to talk about. There's three different modes technically. So yes, you don't have a model selector, but you have three different levels of reasoning that you can put out if you're on the highest plan. If you're on the medium plan, the $20 a month plan, you have two, right? Go ahead and switch it to the what's called GPT5 thinking and just use Canvas mode and just say clone blank app, clone Microsoft Word. Right. Clone Google Sheets and sit back and you'll be impressed. Right. It might not one shot it every single time because generative AI is generative.
Jordan Wilson [00:15:22]:
But go back and forth and Iterate and you're like, wait, what? This is possible? So like I can't underestimate I, I again how many people are just going to be spinning up little useful and helpful apps with ChatGPT that they can go in and use. That's just going to make everyone's business lives a lot easier and then reduce, reduce syncopacy. So you know, like one of the most annoying updates to ChatGPT that they actually rolled back essentially. ChatGPT just started agreeing with everything you said. This is a problem with all large language models, right? They're just yes men. You can be like, you know, hey, large language model, I have an idea to quit my well paying job and go live on an island and sell sunshine to people on an island, right? It's dumb. Like that's absolutely dumb. Right? But previous models would talk you through it and pump you up and be your hype man.
Jordan Wilson [00:16:21]:
Oh yes, that's great. Yeah Jordan, you should do that. Quit your good job, go sell sunshine. Everyone's going to buy it. You're the smartest person, you'll figure out how to, how to sell sunshine. Like in AI would tell you, oh yeah, that's great, you know, hype you up for no reason. So GPT5 has cut down on that. So it said it's cut down on kind of those yes man responses from 14.5% to under 6%.
Jordan Wilson [00:16:50]:
So it's less likely to just automatically agree with users incorrect statements. That's the biggest thing, right? If you ask an AI model sometimes and if you say, hey, I'm thinking, you know, tell me why you know this. The Chicago Cubs are the best team in baseball this year. All right. Hey, although my Cubs are a little bit better than in the years past, they're not. But most large language models wouldn't correct you. They're going to be like, oh, the Cubs are the best team in baseball because A, B and C, right? They're just going to mirror whatever you tell them. So the fact that we got a pretty big response rate cut from 14.5 to 6%.
Jordan Wilson [00:17:26]:
Again, not ideal to still be at that 6% rate, that's a huge drop down. And obviously previous models from ChatGPT and everyone else are criticized for just being too eager to please and sometimes at the expense of accuracy, the thing that is ultimately the most important. All right, so like I said, even though you know, you technically GPT5 is more of an architecture, right? And it's a hybrid model and it decides, you know, how it's going to work, you still do have model choice. So I know that's confusing, but I think ultimately this is better because before. Let's look at what we had before, right? You had GPT-4, you had GPT 4.1, which was more for coders, you had GPT 4.5, which was their EQ model. Great for writing. Then you had GPT-4O mini, right? Then you had 03, you had 03 Pro, you had 04 Mini, you had 04 Mini High, right? Confusing for 99% of users. I personally loved it, right? I personally like going into a model selector and seeing 7, 8, 9 different choices.
Jordan Wilson [00:18:40]:
Now it's going to be different. So if you're on a the plus plan, so if you're paying $20 a month, you're going to see GPT5, it's going to say flagship model and then you're going to see GPT5 thinking. So essentially it's just like, hey, think a little more. That's it. If you're on the pro plan, the 200amonth plan, that's what I'm on. You're going to have three options. You're going to have GPT5, GPT5 thinking and GPT5 Pro. For the most part, think of it as just low, medium and high, right? And that's when you can actually control without having to prompt engineer your way to it, you can control how little or how much much time ChatGPT takes to essentially think or to build or to strategize, etc, whereas if you were on the free plan, you're not going to have that option, you're just going to have GPT5.
Jordan Wilson [00:19:32]:
And when I say just, it's just really, really good. So that's important to keep in mind. To keep in mind. And y', all, if, if you do have a question, let me know, I'll try to tackle some of the questions at the end for our live stream audience. And FYI, it helps just because, you know, there's. There's a lot of comments over here. Just put question or something like that in front of your question. So as I'm scrolling through a couple dozen comments and questions here from different platforms, it's easier to see.
Jordan Wilson [00:20:00]:
So for paid users, you still do have a little bit of choice, right? You still have some agency left. As an AI user, not as much as we had yesterday. It is still much simpler. And if I'm being honest, I've only been able to do simple prompts in testing the difference between GPT5, GPT5, thinking and GPT5 Pro, right? So what OpenAI said, you know, there's benchmarks and all that and you know, X percentage of users, you know, the majority of users preferred pro responses versus GPT5, right? But I do still personally need a lot more time to even go into depth on these three different models. I will tell you this. If you're using Canvas mode, right, and that's kind of the mode. A lot of people think of Canvas mode as like an interactive Google Docs, which it is, you can like write and collaborate in line with ChatGPT. But what canvas is obviously really good at, it's, it's.
Jordan Wilson [00:20:53]:
That's how you can render code, right? So when I said go clone Slack, it used Canvas to then run and render that code so you can chat with it on the left Canvas, it's like, think of it as a, a web browser, right, where you can render the code that you write anyways on the Pro level. So on the highest tier, Canvas mode doesn't work. So aside from that, I haven't really seen any differences, except it's going to take longer. It's going to use more, you know, it's more inference, more computes to give you hopefully better answers. But like I said, you don't have the option to, you know, now choose, oh, I want a transformer model, right, which is essentially a very smart autocomplete versus a reasoning model which thinks now it's just one inside GPT5 and it decides on its own if it's going to give you a, a spit it out in a quarter of a second or if it's going to take 10 minutes. All right, but like I said, if it is starting to take longer and you're like, wait, I just need a quick answer. There actually is a button that just says, you know, give me a quick answer. So if it's, you know, if you're asking it something simple and you're like, wait, I think it misunderstood me, or it's taking this way too far, right? And that's, that is kind of nice, right? Because previously with o3 and o3 Pro, you know, you might think that you're asking it a fairly direct question that's going to take 30 seconds, but you still want that reasoning, right? And you're like, wait, five minutes later, it's still going and there's nothing you can do about it, right? So that is a pretty nice upgrade there.
Jordan Wilson [00:22:22]:
On the developer side, a lot of other options. We're not going to get into these too much, but From a pricing standpoint, very impressive and I'll be excited to see the full third party benchmarks with some of these other models. Specifically I'm looking at mini. So from the API side you have GPT5. So these are for companies building on top of the OpenAI's API. So you have GPT5, you have GPT5 mini, and then we have GPT5 nano. And I'm going to talk a little bit on the pricing structure on our seven big trends because that's huge. All right, so now I'm going to have a little bit, I'm just going to read a little bit of this is from OpenAI's announcement.
Jordan Wilson [00:23:02]:
All right, so I kind of told you my high level overview what you need to know, but I think some important things in here from OpenAI. So reading this off their, off their announcement post. So they said we are introducing GPT5, our best AI system yet. GPT5 is, is a significant leap in intelligence over all our previous models featuring state of the art performance across coding, math, health, visual perception and more. It is a unified system that knows when to respond quickly and when to think longer to provide expert level responses. GPT5 is available to all users with plus subscribers getting more usage and pro subscribers getting access to GPT5 Pro, a version with extended reasoning for even more comprehensive and accurate answers. So now a little bit more about this unified system from OpenAI. So they said GPT5 is a unified system with a smart efficient model that answers most questions, deeper reasoning model GPT5, thinking for harder problems, and a real time router that quickly decides which to use based on conversation type, complexity, tool needs and your explicit intent.
Jordan Wilson [00:24:09]:
For example, if you say think hard about this in the prompt, the router is continuously trained on real signals including when users switch models, preference rate for responses and measured correctness improving over time. Once usage limits are reached, a mini version of each model handles remaining queries. In the near future, we plan to integrate these capabilities into a single model. All right, so let me talk a little bit about what this means. So like I said, when you talk to GPT5 now, it's going to decide essentially which of these three variations, if you're on the higher plan, which one it's going to use and how much essentially compute it's going to give to your query. And the good thing about OpenAI having 700 million users, you saw it right there. This router is going to hopefully get smarter over time. So if you are using GPT5 today, number one, keep in mind, it's going to be crowded, right? There are literally hundreds of millions of people probably over the course of the first couple of days that are going to be trying this all at once.
Jordan Wilson [00:25:17]:
So far, OpenAI servers have been pretty good. I've only had a couple errors come up, so pretty surprising. But there's going to be literally hundreds of millions of people trying to test this all out at once, so give it time. But also with that time, that router is going to hopefully improve, so it will hopefully know and get a little better at. Hey, when I ask a simple query, you don't gotta. You don't gotta think about it. All right, a little bit. Nor from OpenAI so they said GPT5 in chatGPT is our next flagship model and the new default for logged in users.
Jordan Wilson [00:25:50]:
This part's important. So it simplifies ChatGPT to a single auto switching system that brings together the best of the previous model into a smart, fast model. GPT5 is available to all ChatGPT users. Users on the paid tiers plus pro and team have access to that model picker like I told you about, which enables you to manually select GPT5 or GPT thinking and then if you're on the Pro or team pick. All right, that one's. I didn't actually know that one until I read this post because on my team plan, that's the one out of my seven plans that hasn't been upgraded yet. So on the team you do have access to that GPT5 thinking pro, which takes a bit longer, but delivers the accuracy you need for complex tasks and then a little bit more. So GPT5 not only outperforms previous models on benchmarks and answers questions more quickly, but most importantly is more useful for real world queries.
Jordan Wilson [00:26:44]:
That's. That's the big thing. You know, I think that this is going to become a daily driver model for a lot of people, whereas even before, like myself, I might go out and use Claude for one specific thing I might go use. I mean, I'm actually using Gemini 2.5 Pro a lot, but I might go to different models for different purposes. I think with GPT5 and this kind of auto router, I think it is going to become a daily driver model for people that might usually use two or three. They also said we've made significant advances in reducing hallucinations, improving instruction following, in minimizing sycophancy, While leveling up GPT5's performance in three of ChatGPT's most common uses, writing Coding and health. All right, so now, you know, big picture, you know the overview, you know what's new, right? I didn't go too much into kind of the benchmarks. I'll probably do that at a later point as I've had time to go through them.
Jordan Wilson [00:27:40]:
But I'll say this, it is the number one model on LM arena across all major categories, right? Which usually doesn't happen. I think Google Gemini 2.5 Pro is the only other model ever that has held that distinction. So what that means this has been being tested blindly in the LM arena, which is essentially the Pepsi versus Coke blind challenge. You put in a prompt, you have two models, you get two different responses, you pick which one's best. That leads to something called an ELO score, like what is used in chest. So essentially, GPT5 is now across, and then it measure, you know, it. It classifies everything in categories. So now GPT5 is the number one model in the world on LM arena across all categories.
Jordan Wilson [00:28:26]:
So the actual more scientific benchmarks, it's out benching just about everything in every single category. And at least for initial testing on real world human preference, it's winning in every single category as well. And it's not really close. It has a sizable lead, but like I said, I wouldn't be surprised if we get a Gemini drop in days or weeks. But now let's get to the biggest trends that you need to know. Some of these, I think are under the radar. Some of them are obvious. Some of these I kind of mentioned a little bit, but I think they're worth reiterating.
Jordan Wilson [00:29:03]:
So number seven, free users are the biggest winner, period. Maybe for me, I'm seeing a, you know, 20 to 50% boost in my capabilities within ChatGPT. I'll say for free beginning users, I am not kidding. You're seeing 5x to 10x. All right, let me say, let me say that again for someone like me, maybe 20 to 50%, you, all, everyone else, if, if, if you're a casual user, if you're on the free plan, huge jump. And I'll say, actually, even casual users, right? If you're a GPT-4O user, even on a paid plan, I can't even communicate how much better this base model is, because we went from GPT-4O, which is based, again, GPT-4. The. The model itself came out two and a half years ago, right? And then we went to GPT-4 Turbo, and then we went to GPT-4O.
Jordan Wilson [00:30:08]:
But these are all just very good and sizable improvements on a model that was essentially released two and a half years ago, which in AI time is like, I don't know, that's like multiple generations, right? It was still a good ish model, but if you were A primarily a GPT-4O user, even on a paid plan, right, That's a model that doesn't think, it doesn't reason, it doesn't logic, it doesn't plan ahead. The difference between a model that does all of those things versus doesn't, it's hard to measure. So that's why I think free users here are the biggest winner. So like I said, yes, the ceiling went up for everyone, including power users, but the floor shot through the previous ceiling. It's huge. I'm talking about 10xing people's capabilities overnight if you were a casual user and if you take the time to actually learn the capabilities, understand them, and make a model like this your daily driver. And if you start using GPT5 in instances where maybe you wouldn't before, maybe you only used it for, you know, content writing and coding. Now if you start using it as a strategist, a brainstorming partner, an editor, et cetera, I think you're going to see those, that, that, that capability jump that I talked about.
Jordan Wilson [00:31:25]:
And that's why I think this, you know, this model router and you know, a hybrid model will actually do wonders for people once you start moving more of your day to day processes inside of GPT5. So that's number seven, number six. GPTs are now true PhDs in your pocket. So what do I mean by that? So a while ago OpenAI released GPTs and at the time there was a lot of hype. GPT is essentially a personalized version. You can create a personalized version of the big model ChatGPT. Like if you're like, oh, I love this, except, you know, I need it to always, you know, respond in my tone of voice. And I always need to upload files, right? So GPTs are custom versions of ChatGPT that you can make.
Jordan Wilson [00:32:13]:
You can make unlimited, unlimited versions of ChatGPT, upload your own files, custom instructions, you know, which is essentially a system prompt. But they kind of flopped, right, because they didn't really get updated for like a year and a half and they were only had access to older models. So if you tuned in, I think it was about six weeks ago, they upgraded that and they gave GPTs the ability to use the O re, the O series models, which is huge. So now obviously GPTs, if you're on the paid plans, they have access to GPT, GPT5, GPT thinking. And then if you're on the pro plan, you have access to GPT thinking pro. So that's big, right? So you have these, these models now inside gbts, but that's not the big thing. Now you also have Advanced Voice mode. A small little nugget from yesterday's hour and a half long, I think it was about an hour and a half long live stream that I don't think a lot of people picked up on is now inside of GPTs.
Jordan Wilson [00:33:16]:
You can use Advanced Voice mode. So here's what that is. You've probably used Advanced Voice mode, right? It's, it's very neural. It sounds like talking to a human. The latest update, which I'm iffy on, right? Sometimes it like chuckles or hesitates. So it's very much starting to sound more and more like talking with a human. So number one, they did update Advanced Voice mode, but they didn't go into a lot of details. They just essentially said it's better and more natural.
Jordan Wilson [00:33:43]:
But the other thing is now you can use Advanced Voice mode inside GPTs, whereas before it would have used standard voice mode, which, you know, aside from the fact, you know, it's, it was, you know, less like talking to a human. It was just slower and not as good. Think of it like a different model, like jumping from, you know, GPT-4 to GPT5, right? So now you can create a custom version of ChatGPT and GPTs, upload all your information and use Advanced Voice mode. That is big. That is something I've been waiting for for a very long time. And I'm like, when this happens, this is now going to be, everyone's going to have that personal strategist, right? You can upload every single piece of important, every document, data, etc into a GPT, give it custom instructions. So it always knows you, it knows what you're working on, right? And then you can just talk to it. Hey, you know, why are my podcast downloads, you know, up 20% this week? And it can go look at everything, right? Whatever I give it access to, it can have access to my emails, my Google Drive files, you know, it can query the web, it can build, it can build things with, with Python.
Jordan Wilson [00:34:52]:
Advanced Data analysis, right? This is huge because now GPTs, I think are true PhDs in your pocket. Number five on our big trends, OpenAI is going to cause some chaos with their pricing. All right, so not only the fact that this is free, all right, GPT5 free. That's going to create a lot of chaos. They released earlier this week and I did a show on this yesterday, their GPT oss, right, which is open source. You can download it, fine tune it, shut off the Internet and commercialize with it. All right, so not only GPT5 is free, that's number one. Number.
Jordan Wilson [00:35:31]:
Number two, you have GPT OSS. And then number three, the API prices are bonkers cheap. All right, I have a little comparison chart for our podcast audience. And if you're wondering, you can always watch the video version on our website at your everydayai.com or on our YouTube channel. I know a lot of people listening on Spotify are like, where's the video version? That's where it is. So let me talk about the pricing here in GPT-5 and let me compare it to Claude Opus 4.1, which just came out in Claude Sonet 4. So that's the models from Anthropic. And I chose Anthropic because for whatever reason, their API pricing has just been ridiculously high and now I think Anthropic's in trouble.
Jordan Wilson [00:36:15]:
All right, let's look at GPT5 and compare it to Opus 4.1. So this is for developers on the API side. So if you're building on top of their platforms, which is millions of developers, millions of companies. Okay, so GPT5 for output, it's $10 per million token versus Claude Opus 4.1 $75. It is 7.5x more expensive and it's not better in any benchmark. It's like, I know like at first it was kind of like trendy and cool and hipster to be like, oh, I'm using Claude. Yeah. Oh no, I code, I, I, I code with Claude.
Jordan Wilson [00:37:00]:
Why? What's, what's the reason? Yes, it's great on the agentic side as well. But I mean, everything that GBD5 is showing, it doesn't make sense on paper to pay a 7.5x premium for something that is on paper and according to human preferences inferior. Right. Then you look at on the input, input side, same thing. GPT5A$25 per million tokens on the input Claude Opus 4.1, $15 doesn't make sense. I think OpenAI this week is creating some chaos. I think some middle tier or what I call B tier companies are going to be in some trouble. All right, trend number four, the corporate world just got a huge boost with Microsoft Copilot.
Jordan Wilson [00:37:45]:
So I already mentioned this, but Here's a new stat 100 million plus. There are 100 million plus co pilot users are going to get a ridiculous upgrade because there's a good chance that they were just using GPT-4.0 even though series models were available in Microsoft Copilot. I talked to, I mean I talk to people all the time, right? We do consulting in front end strategy for people, big companies, big organizations. I talked to huge enterprise companies that are Microsoft Copilot companies that didn't even know that you could have used the O models inside of Microsoft Copilot. So many people didn't know. So everyone's just using GPT-4O which again is not the greatest model. So to go from a non thinking GPT-4O and now hundreds of millions of people will have access to a more of a hybrid reasoning model that is much better. This is again can't understate how big of a win Microsoft just got from all of this and rolling it out into Microsoft Copilot studio, Microsoft Teams, et cetera.
Jordan Wilson [00:38:49]:
But that's if IT teams can figure it out. Because if you're not paying for an actual license, I don't know this information off the top of my head. So I don't know if those people who aren't paying for individual Microsoft Copilot licenses, right? Because people still have access to Copilot without the license. There are certain, certain instances of Copilot that are free to use, but you're using an inferior model. So make sure if your company is paying the monthly copilot Microsoft 365 copilot seat. Make sure that your organization, your employees, or you, if you are the employee, get access to GPT5 because it is available now and it is going to change how you work. Trend number three. The world's software and applications are going to get way better.
Jordan Wilson [00:39:38]:
So like I said, both companies moving their API wrapping from GPT-4O to GPT5 and the people actually building with it everything you use. Right? That's what I'm saying. Like your, your, your banking company, your CRM. Right? Like literally you're all software for the most part. If there's any smart capabilities in any software, they're using either OpenAI's API, Anthropic's API, Google's API. So many of them are using OpenAI's APIs. So now just hundreds, hundreds of pieces of enterprise software that billions of people use got instantly better overnight as soon as the dev teams switch it over and go through their qa. So essentially using the Internet, not browsing Internet websites, but Using pieces of software is going to get exponentially better.
Jordan Wilson [00:40:33]:
Talking with customer service bots, exponentially better instantly. Number two, Vibe coding is going even more mainstream. Sorry, that's the truth, right? So when OpenAI talked about making the model router better because they have 700 million weekly active users, it's going to make the model itself better. But like I said, I think even the least technical users are now going to be Vibe coding inside Canvas, right? It's a little different. So, like I said, I've been absolutely loving and using the heck out of Gemini 2.5 Canvas or Gemini 2.5 Pro Canvas. This was available. Canvas mode was available previously. I don't think it was that good for whatever reason.
Jordan Wilson [00:41:25]:
Now GPT5 canvas, really good. And you can literally create something, share it with teammates, use it yourself, right? Let's say you're always. There's something in your. I always just say CRM. Cause I'm like, what's the piece of software that everyone knows most people use, right? A CRM. Let's just say you're using an old clunky CRM or there's certain features. You're like, my gosh, I have to work an hour every single day to do this one thing inside the CRM because it's not a feature. So I'm wasting thousands of hours, right? Or hundreds of hours a year just doing this one thing.
Jordan Wilson [00:42:05]:
Because, you know, if there was a button here, I wouldn't have to do that. Right? Now you can just go build that, Build it for yourself, right? Assuming you can share the data between the two. But here's how bullish I am on saying this. Well, you have to follow the leaders. Cursor is the Vibe coding king. So Cursor, for the most part, relies on other people's models. Cursor replaced Claude. Right.
Jordan Wilson [00:42:32]:
Which the majority of the coding and software development world said, hey, Claude is the best until GPT5 came along. So they announced yesterday that now GPT5 is the default model inside of Cursor. I mean, that's going to be a lot better for people paying, right? Your bills are going to go down. But when the Vibe coding king, that's Cursor, says, yeah, we're making GPT5 the default mode, that's huge. And that also means Vibe coding. It's here to stay. This is not a trend. And then, number one, I think enterprise adoption will go exponentially faster.
Jordan Wilson [00:43:09]:
I think hundreds, hundreds of these, like I, I call them the, you know, the Inc 5000, right? But, you know, you go Fortune 100, Fortune 500, and then like Inc. 5000. So let's just say the 5000 biggest companies in the U.S. i think there was a lot of those companies that were still kind of on the fence with like full AI deployment. They've had AI projects, maybe like one or two teams, but they're like, hey, when it comes to bringing AI to our entire organizations, a lot of stats have said that, you know, 96% of executives say that AI implementation is the, is one of their biggest strategic priorities. But only 4% of companies have successfully scaled AI from top to bottom. One of the reasons is when you look at these problems, I mean, yeah, if, if, if it's agreeing, if models are agreeing with inaccurate information, if they're inaccurate in general, the hallucination, the hallucination rates are higher. And like I said, GPT-4.0, hey, it was great a year ago.
Jordan Wilson [00:44:10]:
It's not great today. I think this is going to push people off the fence. People are going to go from pilot programs to literally full deployment, not overnight, but essentially overnight when it comes to tech innovation, just based on GPT5's reliability, its accuracy, and its speed at bringing this reasoning and logic to market. All right, I did see a couple of questions. This has gone got a little bit longer than I hoped, but this is a pretty sizable update. So let me see here a couple questions Sneha said. What's the best way to get started with Vibe coding? Literally just open up canvas mode inside GPT5 right now and say, build me a clone of blank. Right.
Jordan Wilson [00:44:56]:
Whatever software you use and then iterate on it. Right. I mean, I think the first thing is just say build me a clone of blank. See how it works. See how you can iterate with something. Right. Then obviously, you know, I don't think that GPT5 is going to be a fully featured Vibe coding platform. Right.
Jordan Wilson [00:45:15]:
If you want to build like an actual business around something, you're probably better off using something like Cursor or Replit, at least for now. You know, something that handles the back end. But if it's for personal use, if, if it's for your team use, if it's just to learn, just literally go in and start. Let's see. Question here. Jackie, she said, so paid users get more prompts, tokens. Yeah, you get more usage. I don't know if they gave specifics.
Jordan Wilson [00:45:45]:
I will have to go and double check that, but we'll make sure to put that in the newsletter. So, yes, free users. The, the caps on GPT5 are going to be a little restrictive, especially early on the 20amonth it's still limited. GPT5 is limited. If you're on the pro, it is unlimited GPT-5. Douglas question if teams has pro thinking, what's the draw for the pro tier limits? Yes. Unlimited. Unlimited GBT5.
Jordan Wilson [00:46:11]:
Yeah. So if you're on the teams or the plus $20 a month teams I think is $30 a month per user, your GPT5 use is limited and then you're going to be rolled back to essentially a GPT5 Mini. So that's one of the reasons. But across, you know, Codex Sora, you know those unlimited limits scale as well. All right. I think those for the most part the biggest questions. I'll try to go through the comments. If you do have some later, please ask them.
Jordan Wilson [00:46:37]:
Also, I'm going to be covering this as I get more time, probably doing a lot of hands on. So let me know what you want to see us testing next week or the week after with GPT5. Like I said, we're not going to do a lot of hands on live demos because I really like to spend minimum at least like 5, 10, 15 hours before I start doing those types of things. So regardless, I hope that this episode was helpful. As we told you, what's New kind of where everything is headed and seven big trends. If it was helpful, please tell someone about it. If you're listening on the podcast, please make sure to subscribe. And then if you haven't already, please go to your everydayai.com Sign up for the free daily newsletter.
Jordan Wilson [00:47:19]:
We're going to be recapping today's conversation and a whole lot more in there. Thank you for tuning in. Hope to see you back for more Everyday AI. Thanks y'all.
Jordan Wilson [00:47:39]:
It helps keep us going for a little more AI magic. Visit your everydayai.com and sign up to our daily newsletter so you don't get left behind. Go break some barriers and we'll see you next time.
