OpenAI drastically cuts prices for its AI models

OpenAI is dropping the price of its GPT-5.6 Luna model by 80 percent. The Terra model will also become 20 percent cheaper. These changes take effect on July 30.

The company says its high-end Sol model made their systems run more efficiently. This internal progress allows them to pass savings on to users.

Competition is also heating up in the market. Cheap options from Chinese companies and Microsoft models are likely pushing OpenAI to lower its costs.