Chinese AI Is Getting So Cheap That OpenAI and Anthropic Had No Choice But to Cut Prices

TLDR

• OpenAI cut the price of its GPT-5.6 Luna model by 80% and trimmed Terra pricing by 20%
• Anthropic launched Claude Opus 5 at half the price of its previous top model, Fable 5
• Anthropic also cancelled a planned price hike for Claude Sonnet 5
• Companies like DoorDash, Airbnb, and Siemens are testing cheaper Chinese AI models from DeepSeek and Moonshot AI
• Chinese models have overtaken Claude and ChatGPT in token use on the OpenRouter platform

OpenAI and Anthropic are cutting prices on several AI models after enterprise customers began shifting toward cheaper Chinese alternatives like DeepSeek and Moonshot AI.

OPENAI AND ANTHROPIC IN PRICE WAR AS CHINESE AI RIVALS GAIN GROUND-FT

- First Squawk (@FirstSquawk) August 14, 2026

Why Prices Are Falling

Businesses that once spent freely on AI are now tracking costs more closely. Chinese AI developers have stepped in with capable models at a fraction of the price, giving companies real alternatives for everyday tasks like coding and customer support.

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