➕ Apple’s AI Retreat & What It Means for Your Business

PLUS: Another new ChatGPT model released

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Hello Codebreakers,

Let’s dive into this week’s edition…

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LATEST DEVELOPMENTS

OpenAI’s new o3 model rethinks speed for stability

OpenAI dropped a quieter, more reliable model: o3-pro. It trades speed for precision--and it's built for companies who want fewer surprises.

  • o3 is now powering ChatGPT Enterprise and API Pro tiers. It’s more consistent, and safer for regulated industries.

  • Unlike GPT-4o, o3 isn’t focused on multimodality or speed. It's optimized for “tool use,” AKA working seamlessly with plugins, APIs, and workflows.

“It’s our most reliable model yet” — Read more

What this means to you: If you run a growing business and rely on AI for productivity, o3 is a signal that OpenAI is moving toward enterprise-first design. Expect more robust, low-risk tools for internal ops, sales workflows, and marketing automation.

What to watch for: Expect broader rollouts of o3 in tools like Zapier, Notion, and enterprise CRMs by Q4 2025.

Apple retreats from its AI dreams

In a rare move, Apple is backing away from developing its own foundational AI model--instead, it’s licensing OpenAI’s tech and doubling down on UI.

  • Apple wants to stay hardware-first. Its AI strategy now looks like "bring your own model" baked into Siri and native apps.

  • The shift highlights a division: companies building AI infrastructure vs. those focused on brand and UX.

“It’s a UI war, not an AI war.” — Read more

What this means to you: SMBs can take a cue here. You don’t need to build the tech—just build the experience. Use off-the-shelf AI tools and focus on crafting delightful, sticky customer journeys.

What to watch for: Expect more tech giants to exit the model race and partner instead of build. Pay attention to what’s open vs. proprietary.

Creators beat traditional media in ad revenue this year

According to new data, creators will earn more ad revenue than traditional media outlets in 2025. Brands are now betting on influence > placement.

  • Creator-led content is outperforming on ROI, especially with niche, loyal audiences.

  • The platforms (TikTok, YouTube, Instagram) are making it easier to shop, track, and target through creators--which media can’t replicate.

“This year marks the passing of the torch” — Read more

What this means to you: If you’re still buying banner ads or sponsored articles, rethink your spend. Creator partnerships offer real reach, trust, and trackability--especially for small brands looking to punch above their weight.

What to watch for: FTC compliance and disclosure rules will likely tighten. Prepare your influencer briefs accordingly.

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Until next time.

— Kofi

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