It could benefit startups, research teams, and individual developers who previously found higher-tier model access cost-prohibitive.

New model and bold pricing strategy aim to cement OpenAI’s lead, but enterprises must navigate integration and governance challenges to unlock full potential, analysts say.

OpenAI has dropped o3’s pricing from $10 to $2 per million input tokens and from $40 to $8 per million output tokens. It’s a move aimed at regaining developer interest, and it could shift the balance in the ongoing model wars.