On the heels of DeepSeek R1, the latest model from OpenAI promises more advanced capabilities at a cheaper price.

OpenAI believes DeepSeek used a process called “distillation,” which helps make smaller AI models perform better by learning from larger ones.

OpenAI rolled out a new, lightweight artificial intelligence model that it said is capable of humanlike reasoning and makes gains on efficiency — a product that will be closely watched following the release of an open-source model from China’s DeepSeek.