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International Business Times UK
International Business Times UK
Technology
David Unyime Nkanta

AI Price War Explodes As Companies Are Dumping OpenAI, Anthropic for Cheaper Tools

OpenAI vs Anthropic depicted using AI for illustration purposes (Credit: IBTimes UK)

A widening price war across the artificial intelligence industry is forcing businesses to rethink their dependence on premium AI models, with growing numbers shifting away from providers such as OpenAI and Anthropic in favour of cheaper, more flexible alternatives.

What began as rapid enterprise adoption of generative AI is now entering a second phase defined less by capability competition and more by cost efficiency, with companies increasingly scrutinising the return on investment of high-end model usage.

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