Oracle has integrated OpenAI’s GPT-5 model into its databases and SaaS products, including Fusion Cloud Applications, NetSuite, and industry-specific tools like Oracle Health. The update is designed to connect business data more closely with AI to help companies leverage its reasoning abilities and coding support within workflows.
GPT-5, OpenAI’s newest model, is tailored for tasks such as code generation, debugging, editing, and supporting agent-driven processes that require advanced reasoning. The model comes in three API sizes to accommodate various needs and is integrated into ChatGPT Enterprise as well. OpenAI has made GPT-5 accessible to all ChatGPT users, with free access transitioning to a lighter “mini” version over time. Paid subscribers and enterprise customers have access to more advanced features.
OpenAI states that GPT-5 is faster, more accurate, and less prone to errors compared to earlier versions, with extensive safety testing conducted over 5,000 hours. The model aims to provide clearer and safer answers while acknowledging its limitations, rather than blocking sensitive queries. During its debut, OpenAI showcased how GPT-5 could develop functional software from concise prompts, such as a flashcard app for language learning. Microsoft is also incorporating GPT-5 into Microsoft 365 Copilot and Azure AI, with companies like Box reporting improved performance on complex tasks.
The launch of GPT-5 marks OpenAI’s return to open-source models since GPT-2, unveiling gpt-oss-120b and gpt-oss-20b simultaneously. This move comes as Chinese firms, including Alibaba, Zhipu, and Moonshot AI, release robust models under open-source licenses, positioning China as a leader in both open and closed AI models, intensifying competition for US developers.
OpenAI is exploring the possibility of a stock offering that could value the company at $500 billion. CEO Sam Altman praised GPT-5 as a significant advancement in AI, streamlining the process of transforming basic concepts into tangible outcomes.
Oracle emphasizes that GPT-5 will enhance how customers leverage data and automation, offering benefits such as improved multi-step reasoning in workflows, accelerated code creation, debugging, and documentation, and more profound insights with precise recommendations. By combining Oracle Database 23ai with GPT-5, companies can unlock breakthrough insights, innovations, and productivity, according to Kris Rice, Oracle’s senior vice president for Database Software Development.
Meeten Bhavsar, senior vice president for Applications Development at Oracle, notes that GPT-5 will empower Fusion Applications customers with advanced automation and decision-making capabilities through agent-driven processes. Oracle’s overarching strategy is to embed AI directly into enterprise data, prioritizing security and scalability to enable companies to deploy appropriate AI tools effectively.
In the broader landscape, Oracle’s shares have surged by 49% this year, amid ongoing investments in AI by tech giants like Microsoft, Google, and Meta. Oracle recently deepened its collaboration with Google Cloud, integrating Google’s Gemini 2.5 model into Oracle Cloud Infrastructure’s generative AI service. This partnership allows customers to build AI agents for coding, automation, and research tasks. Oracle intends to make the full Gemini suite accessible through Vertex AI, spanning areas such as video, speech, and image generation, along with healthcare applications. Gemini will also be embedded into Oracle Fusion Cloud Applications to support various functions, including finance, HR, supply chain, sales, and service roles.
