OpenAI is weighing significant reductions to the prices it charges developers and businesses for using its AI models, according to a report from the Wall Street Journal. The potential cuts, described as drastic, are aimed squarely at winning users away from rival Anthropic.

The move signals how fiercely competitive the AI industry has become. Anthropic, the company behind the Claude family of models, has emerged as one of OpenAI's most serious challengers — particularly among enterprise customers and developers who pay per token to access AI capabilities.

Tokens are the units AI companies use to measure and bill for how much text a model processes and generates. Cheaper tokens mean lower costs for companies building products on top of AI, which can be a decisive factor when choosing between competing platforms.

OpenAI has not publicly confirmed the plans, and the extent or timing of any cuts remains unclear based on available reporting. Nevertheless, the consideration alone reflects growing pressure on the dominant player in generative AI to defend its market position through pricing, not just technology.

If implemented, the cuts could accelerate adoption of OpenAI's platform while squeezing margins across an industry already burning through enormous sums on compute infrastructure — a dynamic that matters to anyone building with, investing in, or simply using AI tools.