GPT-5’s rollout fell flat for consumers, but the AI model is gaining where it matters most
Sam Altman turned OpenAI into a cultural phenomenon with ChatGPT.
Now, three years later, he’s chasing where the real money is: Enterprise.
Last week’s rollout of GPT-5, OpenAI’s newest artificial intelligence model, was rocky. Critics bashed its less-intuitive feel, ultimately leading the company to restore its legacy GPT-4 to paying chatbot customers.
But GPT-5 isn’t about the consumer. It’s OpenAI’s effort to crack the enterprise market, where rival Anthropic has enjoyed a head start.
One week in, and startups like Cursor, Vercel, and Factory say they’ve already made GPT-5 the default model in certain key products and tools, touting its faster setup, better results on complex tasks, and a lower price.
Some companies said GPT-5 now matches or beats Claude on code and interface design, a space Anthropic once dominated.
Box, another enterprise customer, has been testing GPT-5 on long, logic-heavy documents. CEO Aaron Levie told CNBC the model is a “breakthrough,” saying it performs with a level of reasoning that prior systems couldn’t match.
Behind the scenes, OpenAI has built out its own enterprise sales team — more than 500 people under COO Brad Lightcap — operating independently of Microsoft, which has been the startup’s lead investor and key cloud partner. Customers can access GPT models through Microsoft Azure or go directly to OpenAI, which controls the API and product experience.
Still, the economics are brutal. The models are expensive to run, and both OpenAI and Anthropic are spending big to lock in customers, with OpenAI on track to burn $8 billion this year.
Winning over enterprise
GPT-5 is significantly cheaper than Anthropic’s top-end Claude Opus 4.1 — by a factor of seven and a half, in some cases — but OpenAI is spending huge amounts on infrastructure to sustain that edge.
For OpenAI, it’s a push to win customers now, get them locked in and build a real business on the back of that loyalty.
Cursor, still a major Anthropic customer, is now steering new users to OpenAI. The company’s co-founder and CEO Michael Truell underscored the change during OpenAI’s launch livestream, describing GPT-5 as “the smartest coding model we’ve ever tried.”
Truell said the change applies only to new sign-ups, as existing Cursor customers will continue using Anthropic as their default model. Cursor maintains a committed-revenue contract with Anthropic, which has built its business on dominating the enterprise layer.
As of June, enterprise makes up about 80% of its revenue, with annualized revenue growing 17x year-over-year, said a person familiar with the matter who requested anonymity in order to discuss company data. The company added $3 billion in revenue in just the past six months — including $1 billion in June alone — and has already signed triple the number of eight- and nine-figure deals this year compared to all of 2024, the person said.
Anthropic said its enterprise footprint extends far beyond tech.
Claude powers tools for Amazon Prime, Alexa, and AIG, and is used by top players in pharma, retail, aviation, and professional services. The company is embedded across Amazon Web Services, GCP, Snowflake, Databricks, and Palantir — and its deals tend to expand fast.
Average customer spend has grown more than fivefold over the past year, with over half of business clients now using multiple Claude products, the person said.
Excluding its two largest customers, revenue for the rest of the business has grown more than elevenfold year-over-year, the person said.
Even with that broad reach, OpenAI is gaining ground with enterprise customers.
GPT-5 API usage has surged since launch, with the model now processing more than twice as much coding and agent-building work, and reasoning use cases jumping more than eightfold, said a person familiar with the matter who requested anonymity in order to discuss company data.
Enterprise demand is rising sharply, particularly for planning and multi-step reasoning tasks.
GPT-5’s improvement
GPT-5’s traction over the past week shows how quickly loyalties can shift when performance and price tip in OpenAI’s favor.
AI-powered coding platform Qodo recently tested GPT-5 against top-tier models including Gemini 2.5, Claude Sonnet 4, and Grok 4, and said in a blog post that it led in catching coding mistakes.
The model was often the only one to catch critical issues, such as security bugs or broken code, suggesting clean, focused fixes and skipping over code that didn’t need changing, the company said. Weaknesses included occasional false positives and some redundancy.
Vercel, a cloud platform for web applications, has made GPT-5 the default in its new open-source “vibe coding” platform — a system that turns plain-English prompts into live, working apps. It also rolled GPT-5 into its in-dashboard Agent, where the company said it’s been especially good at juggling complex tasks and thinking through long instructions.
“While there was a lot of competition already in AI models, Claude was just owning this space. It was by far the best coding model. It was not even close,” said Malte Ubl, CTO of Vercel. “OpenAI was just not in the game.”
That changed with GPT-5.
“They at least caught up,” Ubl said. “They’re better at some stuff, they’re worse at other stuff.”
He said GPT-5 stood out for early-stage prototyping and product design, calling it more creative than Claude’s Sonnet.
“Traditionally, you have to optimize for the new model, and we saw really good results from the start,” he said about the ease of integration.
JetBrains has adopted GPT-5 as the default in its AI Assistant and in Kineto, a new no-code tool for building websites and apps, after finding it could generate simple, single-purpose tools more quickly from user prompts. Developer platform Factory said it collaborated closely with OpenAI to make GPT-5 the default for its tools.
“When it comes to getting a really good plan for implementing a complex coding solution, GPT-5 is a lot better,” said Matan Grinberg, CEO of Factory. “It’s a lot better at planning and having coherence over its plan over a long period of time.”
Grinberg added that GPT-5 integrates well with their multi-agent platform: “It just plays very nicely with a lot of these high-level details that we’re managing at the same time as the low-level implementation details.”
Pricing flexibility was a major factor in Factory’s decision to default to GPT-5, as well.
“Pricing is mostly what our end users care about,” said Grinberg, adding that cheaper inference now makes customers more comfortable experimenting. Instead of second-guessing whether a question is worth the cost, they can “shoot from the hip more readily” and explore ideas without hesitation.
Anton Osika, co-founder and CEO of Lovable, a company that builds an AI-powered tool that lets anyone create real software businesses without writing a single line of code, said his team was beta testing GPT-5 for weeks before it officially launched and was “super happy” with the improvement.
“What we found is that it’s more powerful. It’s smarter in many complex use cases,” Osika said, adding that the new model is “more prone to take actions and reflect on the action it takes” and “spends more time to make sure it really gets it right.”
Box‘s Levie said the biggest gains for him showed up in enterprise workflows that have nothing to do with writing code. His team has been testing the model for weeks on complex, real-world business data — from hundred-page lease agreements to product roadmaps — and found that it excelled at problems that tripped up earlier AI systems.
Levie added that for corporate use, where AI agents run in the background to execute tasks, those step-change improvements are critical, and can turn GPT-5 into a real breakthrough for work automation.
“GPT-5 has performed unbelievably well — certainly OpenAI’s best model — and in many of our tests it’s the best available,” he said.
— CNBC’s Kevin Schmidt contributed to this report.
WATCH: OpenAI launches GPT-5 model
Sometimes on Alibaba, you find something that makes you stop, scratch your head, and wonder whether the designer started with a golf cart and added a pickup truck bed… or started with a farm truck and grafted on the front half of a golf cart. Either way, the end result is this glorious mashup of country club chic and back-forty practicality.
It’s also the perfect candidate for this week’s edition of the Awesomely Weird Alibaba Electric Vehicle of the Week – a chance to dumpster dive through some of the coolest and most innovative EVs on the internet.
Up front, you’ve got what looks like your standard neighborhood golf cart – small tires, stubby hood, upright windshield, and a seating arrangement that says, “I could drop you off, but you’re carrying the clubs.”
But move your eyes toward the rear and suddenly you’re on a rural Chinese farm. It’s basically the epitome of the classic Chinese farm truck… and I’ve walked the line at Chinese farm truck factories. That short golf cart chassis has been stretched into a full-blown flatbed mini-truck, complete with drop-down side gates and a tailgate to turn it into a flatbed. It’s ready to haul hay bales, tools, or apparently, livestock (as our graphics department so tastefully demonstrated above).
The pièce de résistance? That big, plastic laundry basket bolted to the hood with “SPORT” proudly embossed on it. Who needs a glove box when you’ve already got a whole hamper right in front of you? Perfect for golf balls, groceries, or the world’s most precariously placed toolbox.
Despite the hybrid identity crisis, the specs are no joke. Wel, ok – they’re a little funny. This little utility cart boasts a 72V, 1,500W rear-axle motor that can whisk you along at up to 38 km/h (about 24 mph). That’s quick enough to get you in trouble on the fairway or make a speedy feed run at the farm. It can even climb a 20-degree grade, meaning you’ll have no problem hauling a load of goat feed up your driveway. Range is listed at 70 km (43 miles), so you can spend all day zipping between barn and bunker without a recharge.
Weighing in at 317 kg (just under 700 lb), it’s heavy enough to feel stable but light enough that you could probably push it out of a sand trap with a couple of buddies if you really had to. It’s also got a key start, built-in speakers, and of course, that open-air cabin that’s perfect for warm days and questionable weather decisions.
And the price? Just $2,300… if you happen to be standing on the factory floor in China with cash in hand (or just $2,000 if you buy 100 of them!). That’s the factory floor (EXW) price, which means by the time you pay for shipping, import duties, and a customs officer’s confused glare, you’ll be spending a lot more to get one into your driveway. And with tariffs the way they are, now it’s around 40% more than “a lot more.”
For reference, the last time I bought an electric mini-truck from China, the $2,000 truck cost me closer to $8,000 to land it in the US – and that was before Trump Tariffs 2.0.
Is it a golf cart? Is it a truck? Is it a lifestyle? Yes. It’s all of those things. And in a world where we usually have to choose between impractical fun and functional utility, this weird little contraption says, “Why not both?”
Whether you’re hauling mulch around your garden, running parts around a warehouse, or pulling up to the clubhouse looking like you just came from a tractor pull, this Alibaba gem has you covered. Just be prepared for the stares – not everyone is ready for the future of cross-genre utility vehicles.
A casual warning
As always, a friendly reminder before you start reaching for your credit card: don’t actually go buying one of these things. Seriously. These bizarre Chinese EVs are a blast to gawk at, but this column is just a lighthearted weekend stroll through Alibaba’s wildest listings. I’ve scored a few fun wins on the site, but I’ve also taken some expensive lumps (there’s an electric excavator scam story that has yet to be told…), so this is definitely not a shopping guide for anyone faint of heart or who values their hard-earned money.
Sure, some daring (or just plain stubborn) readers have ignored my advice and rolled the dice anyway, but please don’t be the one who ends up with a sad story and a thinner bank account. Consider this your official “you’ve been warned” notice.
For now, let’s just enjoy how wonderfully absurd it is that a golf cart–pickup truck hybrid even exists, and leave the gambling to the pros. Until next week’s weird Alibaba EV, this is Micah signing off.
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If you’ve been eyeing the all-electric G-Wagon, Mercedes-Benz just sweetened the deal – but only for a limited time.
According to a dealer bulletin, the 2025 Mercedes-Benz G 580 with EQ Technology – AKA the electric G-Wagon – now comes with $9,500 in lease cash, up from last month’s $7,500. That’s a 27% jump in savings. The move comes just weeks before the $7,500 EV lease tax credit loophole closes on September 30.
Like most EVs leased in the US, the G-Class has been able to qualify for the credit even though it’s excluded from purchase incentives. That benefit is about to disappear, which likely explains why Mercedes is boosting the offers now.
The electric G-Wagon doesn’t come cheap. With a base price of $162,650, the $9,500 incentive amounts to only a 5.8% discount. The SUV also carries a steep advertised lease: $1,869 per month for 36 months with $14,613 due at signing. Factor it all in, and you’re really paying about $2,275 a month for 10,000 miles a year. Current Mercedes deals run through September 2.
For context, the 2025 G 580’s lease money factor now sits at 0.00180, which works out to around 4.3% APR – lower than the standard rates previously on offer.
Performance-wise, the electric G-Wagon earns an EPA rating of 62 MPGe and an electric range of 239 miles. Not groundbreaking numbers, but for buyers who want the iconic G-Wagon experience with zero tailpipe emissions, this is it.
With federal lease credits ending soon, Mercedes appears to be betting that drivers looking for a last chance at big EV savings will jump now rather than later.
Click here to find a local dealer that may have the 2025 Mercedes-Benz G 580 with EQ Technology in stock. –trusted affiliate
Thanks to CarsDirect for digging up this dealer offer.
Read more: From $129 a month: 5 of the best EV lease deals in August
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The Honda Prologue is a surprise hit. It was the second-best-selling electric SUV behind the Tesla Model Y in the second half of 2024. Now, used models are in high demand.
Honda Prologue leads used EV sales growth in July
After it delivered the first customer models last March, the Honda Prologue quickly became one of the most popular EVs in the US.
Throughout the second half of the year, Honda sold an average of over 5,000 Prologues every month. In November, it was the third best-selling EV, trailing only the Tesla Model Y and Model 3.
Honda’s electric SUV continues to be a top seller this year. Last month, it outsold the Ford Mustang Mach-E and Hyundai IONIQ 5. Since delivering the first Prologue model last March, Honda has now sold 52,500 units in the US.
According to Cox Automotive’s latest EV Market Monitor report, used Honda Prologue EVs are selling faster than expected.
Used EV sales rose sharply in July to 36,670, up 23.2% from June and 40% compared to last year. Honda had the biggest increase in used EV sales, more than doubling (+103%) month-over-month. Hyundai (+61.3%) and Rivian (60.5%) ranked second and third.
Tesla led used EV sales last month, selling 15,903 vehicles, up 18% year-over-year. GM’s Chevy (3,499 units, +28.6%), Ford (1,967 units, +25.7%), Mercedes-Benz (1,724 units, -12.3%), and Nissan (1,659 units, +19.9%) rounded out the top five.
Although its market share slipped to 43.4% from 45.2%, Tesla remained the leader by a wide margin. Other luxury brands, including BMW and Audi, reported higher used EV sales in July, with increases of 43.87% and 38%, respectively.
According to the report, used EV listing prices reached $35,263 last month, a 1.9% decrease from June. With a price gap of just $1,266, a record low, used electric vehicle prices are closing in on ICE vehicles.
New EV sales also picked up in July. With over 130,000 EVs sold, up 26% from June, the electric vehicle market share reached 9.1%, the second-highest to date.
Ahead of the $7,500 federal tax credit deadline, set to expire at the end of September, 11 brands posted their best EV sales of the year. The top five included Tesla, Chevy, Hyundai, Ford, and Honda. Volkswagen surged to sixth after electric vehicle sales surged 454% last month.
The Honda Prologue starts at $47,400, but with the credit, you can snag one for under $40,000 right now. Honda is also offering monthly leases as low as $159 in California and other ZEV states. In other regions, it’s still listed for as low as $229 per month.
| 2025 Honda Prologue trim | Starting Price* | Starting Price After Tax Credit* |
EPA Range (miles) |
| EX (FWD) | $47,400 | $39,900 | 308 |
| EX (AWD) | $50,400 | $42,900 | 294 |
| Touring (FWD) | $51.700 | $44,200 | 308 |
| Touring (AWD) | $54,700 | $47,200 | 294 |
| Elite (AWD) | $57,900 | $50,400 | 283 |
Even Honda’s luxury brand, Acura, is selling more electric vehicles than expected. Through the first half of the year, the Acura ZDX outsold the Cadillac Lyriq, and it’s based on the same GM Ultium platform.
Sales are expected to continue picking up ahead of the deadline. As Cox Automotive highlighted, “July’s performance sets a strong precedent, and as policy support winds down, the market’s ability to respond to real-time demand and brand-level dynamics will be critical in shaping the next phase of growth.”
Ready to take advantage of the savings while they are still here? We’re here to help. You can use our link to find deals on the Honda Prologue in your area (trusted affiliate link).
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