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Tech August 24, 2026

US AI companies cut prices as competition in large models intensifies

Competition in the US artificial intelligence large-model market is intensifying as leading firms slash their pricing. OpenAI announced a reduction of over 20% for the benchmark developer price of its frontier model, GPT-5.6 Sol, following earlier cuts of up to 80% for lower-cost tiers at the end of last month. Simultaneously, Google launched Gemini 3.7 Flash at roughly half the price of its predecessor, reflecting an aggressive pricing war amplified by competitive pressures from the open-source and cost-efficient strategies of Chinese AI companies. Credit : CGTN

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