‘I expect the vibes out there to be rough for a bit’: Sam Altman calls for a ‘code red’ alert at OpenAI as Google’s Gemini 3 gives it a scare

OpenAI CEO Sam Altman has called for a “code red” effort to improve ChatGPT in the face of stiff competition, according to an internal memo viewed by The Wall Street Journal.

Google’s competing Gemini AI has made progress in great leaps and bounds since the summer—and Altman looks to have called for an all hands to the pumps initiative as a result.

Reportedly, the OpenAI chief has called for staff to be pulled from other projects, including advertising, AI agents, and its forthcoming personal assistant, Pulse, in order to spruce up ChatGPT. The team behind the inordinately popular chatbot will also have to attend a daily meeting to report on their progress, which I can only imagine takes place in a ready room not far from the bridge. Futuristic red and gold uniforms, optional.

The recent release of Google’s Gemini 3 has been very well-received, and monthly active Gemini users are already reported to have grown from 450 million in July to 650 million this autumn. The new iteration of Gemini looks to best ChatGPT in several key areas, including critical analysis, strategic reasoning, and overall performance.

According to The Guardian, Altman had previously told OpenAI employees that the launch of Gemini 3 could create “temporary economic headwinds” for the company, and that “I expect the vibes out there to be rough for a bit.”

(Image credit: Jaque Silva/NurPhoto via Getty Images)

Google’s AI plans don’t stop with Gemini, either. According to a leaked presentation, Google’s AI infrastructure employees were recently told they needed to double its AI serving capacity “every six months”, and that their efforts needed to be “more reliable, more performant, and more scalable than what’s available anywhere else.”

So, the Google juggernaut is not just approaching, but as far as Altman is concerned, it’s already here. And given that OpenAI is yet to be profitable, relying on vast funding and investment initiatives to keep itself afloat, it’s no surprise that it feels the need to respond to Google’s AI endeavours—not to mention others like Anthropic who seem hot on its heels.

If ChatGPT no longer looks like it’s leading the pack ahead of its rivals, it seems likely that further investment will be harder to obtain. OpenAI’s competitors are knocking at its door, and it remains to be seen exactly what upgrades can be made to its chatbot in order to robustly respond.

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