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OpenAI has lowered the price of its o3 language model by 80 percent, CEO Sam Altman said. The new cost is $2 per million input tokens and $8 per million output tokens. The move follows Google’s Gemini 2.5 Pro pricing, which ranges from $1.25 to $2.50 for input and $10 to $15 for output, depending on token length. Until now, Gemini had been much cheaper than o3 at similar performance. Altman also introduced a higher-tier o3-pro model and said users would be "happy" with the pricing given its performance. OpenAI said that the stronger o3-pro model is launching today.

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The Screen Actors Guild-American Federation of Television and Radio Artists (SAG-AFTRA) and major video game companies like Activision, EA, and Epic Games have reached a tentative agreement on a new contract. This development could soon bring an end to the strike that has been ongoing since July 16, 2024. The main point of contention was the use of AI avatars and the associated rights and compensation. According to SAG-AFTRA chief negotiator Duncan Crabtree-Ireland, the agreement includes protections for performers in the AI era. The details of the contract will be released once the SAG-AFTRA board and members have approved it. Until then, the strike remains in effect. Negotiations have been ongoing since October 2022.

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Generative AI is quietly changing the UK's film, TV, and gaming industries, according to a new report from the British Film Institute (BFI). The study finds AI is already used behind the scenes to boost efficiency and shape creative work, while also enabling new business models. However, the report warns of serious concerns, including copyright issues, cultural sameness, job losses, and environmental impact. The BFI urges the government and industry to take action through targeted support, better training, clearer rules, and licensed use of copyrighted data. Without a clear strategy, the UK risks falling behind globally.

"The stakes are high. Without strategic planning, the UK screen sector may find itself outpaced by global competitors and new AI-native studios."

BFI

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