OpenAI o1

Category: Current AI Models

Category: Current AI Models

Definition

OpenAI o1 is a reasoning-focused AI model that spends time "thinking" before responding, using chain-of-thought reasoning to solve complex problems in science, coding, and mathematics. Released in September 2024, it represents a new paradigm that improves outputs through increased test-time compute.

How It Works

Unlike traditional language models that respond immediately, o1 employs a unique approach:

  • Chain-of-Thought Reasoning: Generates extensive internal reasoning steps before producing an answer
  • Reinforcement Learning: Trained to refine thinking strategies, recognize mistakes, and try different approaches
  • Test-Time Compute: Performance scales with the amount of time spent thinking about a problem
  • Self-Correction: Naturally develops abilities to verify its work and correct errors

The model produces reasoning chains that can involve thousands of tokens, breaking complex problems into simpler steps. However, these internal reasoning traces are hidden from users for safety and competitive reasons.

Why It Matters

O1 represents a fundamental shift in AI capabilities, achieving human-expert level performance on many reasoning tasks:

Benchmark Performance:

  • Mathematics: Solved 83% of problems on the 2024 AIME exam (vs 13% for GPT-4o), placing among top 500 US math students
  • Coding: Ranked 89th percentile in Codeforces competitions; 49% on SWE-bench Verified
  • Science: PhD-level performance on physics, chemistry, and biology benchmarks
  • Olympiad Success: 49th percentile in 2024 International Olympiad in Informatics

Limitations:

  • Lacks features like web browsing, file uploads, and image generation
  • Significantly more expensive than GPT-4o ($15 per ~750K words analyzed, $60 per ~750K generated)
  • Slower response times due to extended thinking process
  • May "fake alignment" in 0.38% of cases according to OpenAI

Model Variants

Released Models:

  • o1-preview: Full reasoning model with broad world knowledge
  • o1: Production version released December 2024 with improved performance
  • o1-mini: Faster, 80% cheaper version optimized for coding and STEM
  • o1-pro: Premium version using more compute for better answers (ChatGPT Pro exclusive)

Access and Pricing:

  • ChatGPT Plus/Team: Rate-limited access (30-50 messages per week)
  • API Access: Limited to tier 5 developers ($1,000+ spend)
  • Enterprise: Available through Azure OpenAI Service
  • Pro API: $150 per 1M input tokens, $600 per 1M output tokens

Technical Details

  • Built on reinforcement learning without supervised fine-tuning
  • Supports function calling, structured outputs, and vision capabilities
  • Includes "reasoning_effort" parameter to control thinking time
  • Integrated into Microsoft Copilot and GitHub Copilot services
  • Successor models o3 and o4-mini already in development

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