OpenAI is reportedly considering substantial price cuts for its artificial intelligence services as competition intensifies with rival AI company Anthropic, according to a report from the Wall Street Journal.

The potential pricing strategy comes as the two companies appear to be engaging in increasingly aggressive competition for users in the rapidly expanding AI market. Both OpenAI and Anthropic offer large language model services that compete directly with each other.

Meanwhile, Anthropic recently reversed a policy change after facing criticism from researchers. The company had implemented a policy that would have limited Claude's ability to assist in developing competing AI models, but walked back the decision following pushback from the research community.

The pricing considerations and policy reversals highlight the competitive dynamics emerging in the AI industry as companies seek to establish market position while maintaining relationships with researchers and developers who use their platforms.

Separately, investment firm KKR released commentary suggesting the AI productivity boom will continue, though the firm warned of what it described as an 'extreme' trend not observed since the 19th century, without providing specific details about the nature of this trend.