On Thursday, OpenAI announced GPT-5 and three variants—GPT-5 Pro, GPT-5 mini, and GPT-5 nano—what the company calls its "best AI system yet," with availability for some of the models across all ChatGPT tiers, including free users. The new model family arrives with claims of reduced confabulations, improved coding capabilities, and a new approach to handling sensitive requests that OpenAI calls "safe completions."
It's also the first time OpenAI has given free users access to a simulated reasoning AI model, which breaks problems down into multiple steps using a technique that tends to improve answer accuracy for logical or analytical questions.
GPT-5 represents OpenAI's latest attempt to unify its various AI capabilities into a single system. The company says the GPT-5 family acts as a "unified system" with a smart, efficient model that answers most questions, a deeper reasoning model called "GPT-5 thinking" for harder problems, and a real-time router that decides which approach to use based on conversation type, complexity, tool needs, and user intent. Like GPT-4o, GPT-5 is a multimodal system that can interact via images, voice, and text.
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Myunggu Han/Getty Images for Airbnb
Not only does Airbnb want to be the "everything app" — where users can book literally everything, from accommodations to experiences and services — it also wants to do the booking for you.
Brian Chesky, cofounder and CEO of Airbnb, laid out his vision for the travel app's AI-powered future during the company's second-quarter earnings call on Wednesday. Airbnb beat revenue expectations for quarter two and announced a $6 billion stock buyback, but said it expected slower growth in Q3. The stock was down more than 6% after-hours.
"Over the next couple of years, I think what you're going to see is Airbnb becoming an AI-first application," Chesky said on the call with analysts.
He added that currently "almost none" of the top 50 apps in the App Store are AI apps, with the notable exception of OpenAI's ChatGPT. But he predicted that soon every one of them will be AI apps, either AI startups or pre-generative AI apps that successfully transform into "native AI" apps. That's the transformation that he says is underway at Airbnb.
Chesky said Airbnb's approach to utilizing AI has differed from some other travel companies in that they have not focused on using AI to offer travel planning and inspiration. Instead, the company has rolled out AI in customer service, with a custom agent built on 13 different models and trained on tens of thousands of conversations.
As a result of the AI customer service chatbot, he said Airbnb has reduced the number of hosts and guests who need to contact a human agent by 15%.
Chesky said the AI agent is going to become more personalized throughout the next year and that it will be able to take more actions on behalf of the user.
"It will not only tell you how to cancel your reservation, it will know which reservation you want to cancel. It can cancel it for you and it can be agentic as in it can start to search and help you plan and book your next trip," he added.
Airbnb declined to provide additional comment when reached by Business Insider.
In February, Chesky said on Airbnb's quarter four earnings call that he thought it was still too early to use AI for trip planning, but that he believed AI would eventually have a "profound impact on travel."
Chesky also said in February that he wants to make Airbnb the Amazon of travel, or a one-stop shop for "all of your traveling and living needs."
Airbnb in May announced it was relaunching its Experiences business and launching Services, which allows users to book on-site professionals like photographers or massage therapists.
On the call Wednesday, Chesky said he was "very bullish" on Experiences and that the feedback so far has been positive.
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The future of software isn't being built for people — it's being built for machines, said Vercel's CEO, Guillermo Rauch.
"Your customer is no longer the developer," said Rauch on an episode of the "Sequoia Capital" podcast published Tuesday. "Your customer is the agent that the developer or non-developer is wielding."
The CEO of the web infrastructure startup, valued at $3.25 billion last year, said code isn't just being written for humans to read or interact with anymore. It's increasingly being written so AI agents can understand, use, and extend it.
"That is actually a pretty significant change," said Rauch. "Is there something that I could change about that API that actually favors the LLM being the, quote-unquote, entity or user of this API?"
This new AI-first era means software tools may need to evolve based on how large language models interact with them.
"LLMs' strengths and weaknesses will inform the development of runtimes, languages, type checkers, and frameworks of the future," Rauch said.
Rauch also said that in the AI era, Vercel's newer users — who may not be developers but designers, marketers, or even AI agents — expect things to just work.
Developers were used to dealing with errors and "terrible, negative feedback all day long," he said. But today's users have a much shorter fuse when something goes wrong.
Still, he sees that as an "amazing pressure" for product builders. "You want something that works 99.99% of the time," he added.
Last year, Vercel raised $250 million in a Series E round led by Accel, with investors including Tiger Global and GV.
Rauch and Vercel did not respond to a request for comment from Business Insider.
2025 has been hailed as the year of AI agents. They could change how the internet works and how apps and software interact with users.
Bernstein analysts wrote in February that while websites and apps won't go away, users may no longer interact with them directly. Instead, they will access information, content, and widgets through an AI assistant that becomes "the aggregator of the aggregators."
"If it scales and plays out like we think it might, this. Changes. Everything. The aggregators get disaggregated, and much of consumer internet may be structural shorts. Welcome to the Agentic AI era," the analysts wrote. "There's nowhere to hide."
But these agents are not perfect. Researchers have warned that agent errors are prevalent and compound with each step they take.
"An error at any step can derail the entire task. The more steps involved, the higher the chance something goes wrong by the end," Patronus AI, a startup that helps companies evaluate and optimize AI technology, wrote on its blog.
The startup built a statistical model that found that an agent with a 1% error rate per step can compound to a 63% chance of error by the 100th step.
Still, they said that guardrails — such as filters, rules, and tools that can be used to identify and remove inaccurate content — can help mitigate error rates. Small improvements "can yield outsized reductions in error probability," Patronus AI said.
Researchers needed less than 48 hours with Google’s new Gemini CLI coding agent to devise an exploit that made a default configuration of the tool surreptitiously exfiltrate sensitive data to an attacker-controlled server.
Gemini CLI is a free, open-source AI tool that works in the terminal environment to help developers write code. It plugs into Gemini 2.5 Pro, Google’s most advanced model for coding and simulated reasoning. Gemini CLI is similar to Gemini Code Assist except that it creates or modifies code inside a terminal window instead of a text editor. As Ars Senior Technology Reporter Ryan Whitwam put it last month, “It's essentially vibe coding from the command line.”
Our report was published on June 25, the day Google debuted the tool. By June 27, researchers at security firm Tracebit had devised an attack that overrode built-in security controls that are designed to prevent the execution of harmful commands. The exploit required only that the user (1) instruct Gemini CLI to describe a package of code created by the attacker and (2) add a benign command to an allow list.
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