Microsoft prepares for major GPT-5 updates from OpenAI

By Fionna Agomuoh Published February 21, 2025

Microsoft is set to get a major AI update and is preparing its server capacity to support the next iteration of OpenAI’s models. As OpenAI CEO, Sam Altman has previously indicated the brand will soon release the GPT-4.5 large language model in the coming weeks, the Verge has reported that the new model could be available “as early as next week.”

As with other technology advancements, OpenAI has made claims of GPT-4.5 being significantly more powerful than its prior version, GPT-4. The model, codenamed Orion, is set to be OpenAI’s last “non-chain-of-thought model.” Also indicating the coming launch of GPT-5 flagship model with major updates to its functionality, will also affect how partners, such as Microsoft incorporate the technology as well.

Microsoft is set to receive the GPT-5 code in May; however, the publication noted that this time frame is not set in stone. Previously, reports suggested OpenAI intended to release GPT-4.5 in late 2024, but that launch was delayed. In its place, the company began introducing its series of reasoning models, which differ from large language models in that they require less training to produce a better result. They also allowed OpenAI to frequently release several new reasoning models in standard and mini versions in a short period.

However, the GPT-4o model clashed with subscription-based AI features on Microsoft’s Azure cloud service. The company’s team was at a loss on how to integrate some of the speech and translation functions. However, with enough time the engineers can sort out any hiccups, according to Android Headlines.

OpenAI’s most recent reasoning models are the o3 and o3 mini models. The company has indicated plans to combine its large language models and reasoning models to avoid confusion and get closer to its goal of achieving artificial general intelligence (AGI). Currently, users must select a model option for the type of processing result they desire. However, GPT-5 is set to be integrated with o3 mini, allowing users to have the power of both models in one option.

Altman recently took to X to express his dissatisfaction with the breakdown of all the different AI models that are now available for his platform, stating that he believes in the “magic of unified intelligence.”