GPT-4.5: A Step Sideways, Not Forward?

The Scale and Scope of GPT-4.5

OpenAI’s GPT-4.5, released on February 27th, generated significant discussion, though perhaps not entirely the kind OpenAI anticipated. While undeniably a massive model, succeeding GPT-4o, it left many observers feeling that its performance didn’t fully justify its scale and cost. The precise architectural details and the specifics of its training data remain largely undisclosed by OpenAI. However, it’s widely understood that the training process was exceptionally computationally demanding, requiring distribution across multiple data centers. This distributed training approach underscores the immense resources invested in GPT-4.5’s development.

The pricing structure further emphasizes its positioning as a premium, high-end offering. The costs associated with using GPT-4.5 are substantially higher than those of its predecessors. It surpasses GPT-4o by a factor of 15-30X, o1 by 3-5X, and Claude 3.7 Sonnet by 10-25X. Access is currently limited to ChatGPT Pro subscribers, who pay a substantial $200 per month, and API clients who are charged on a per-token basis. This pricing strategy clearly positions GPT-4.5 as a tool for users with significant computational needs and budgets.

Despite the high cost, initial benchmarks indicated only moderate performance improvements over GPT-4o in several areas. In some reasoning tasks, GPT-4.5 was even observed to underperform compared to models like o1 and o3-mini. This raised questions about the efficiency of simply scaling up the model size without corresponding advancements in other areas.

Understanding GPT-4.5’s Intended Purpose

It’s critical to understand that OpenAI did not explicitly position GPT-4.5 as its new flagship, all-purpose model. Early versions of their blog post (which may have been subsequently revised) clarified that GPT-4.5 was not intended to be a “frontier model” – a term often used to describe models that push the absolute boundaries of current capabilities. This suggests that OpenAI had a more specific, and perhaps more limited, purpose in mind for this particular model.

Furthermore, GPT-4.5 is not primarily designed as a reasoning model. This makes direct comparisons with models specifically optimized for reasoning, such as o3 and DeepSeek-R1, somewhat misleading. These models are trained with different objectives and architectures that prioritize logical deduction and problem-solving.

OpenAI has also stated that GPT-4.5 will be its final non-chain-of-thought model. This is a significant statement. It implies that the training of GPT-4.5 focused heavily on embedding a vast amount of world knowledge and aligning the model with user preferences, rather than on developing complex reasoning abilities through chain-of-thought prompting. Chain-of-thought prompting is a technique where the model is encouraged to generate a series of intermediate reasoning steps before arriving at a final answer, significantly improving its performance on complex tasks.

Where GPT-4.5 Might Shine: Knowledge and Nuance

The primary advantage of larger language models often lies in their increased capacity for knowledge acquisition. A larger model, with more parameters, can simply store and retrieve more information. GPT-4.5, consistent with this principle, demonstrates a reduced tendency to hallucinate – that is, to generate false or nonsensical information – compared to its smaller counterparts. This makes it potentially valuable in applications where strict adherence to facts and contextual information is crucial, such as summarizing factual documents or answering questions based on a specific knowledge base.

In addition to its enhanced knowledge base, GPT-4.5 exhibits an improved ability to follow user instructions and preferences. This has been demonstrated in various examples provided by OpenAI and corroborated by anecdotal evidence from users who have shared their experiences online. The model appears to be better at grasping the nuances of user intent, leading to more tailored and relevant outputs. This improved instruction-following capability could be particularly useful in applications like code generation, content creation, and personalized tutoring.

The Debate on Prose Quality: Subjectivity and Potential

A significant debate has emerged surrounding GPT-4.5’s ability to generate superior prose. Some OpenAI executives have praised the model’s output quality, with CEO Sam Altman even suggesting that interacting with it provided a glimpse of “AGI” (Artificial General Intelligence) for some discerning testers. This claim, however, has been met with skepticism and debate within the AI community.

The broader reaction to GPT-4.5’s prose quality has been decidedly mixed. OpenAI co-founder Andrej Karpathy anticipated improvements in tasks that are less reliant on pure reasoning and more dependent on factors like “EQ” (emotional intelligence), creativity, analogy-making, and humor. These are areas often considered to be bottlenecked by world knowledge and general understanding, rather than by raw computational power or reasoning ability.

Interestingly, a subsequent survey conducted by Karpathy himself revealed a general user preference for GPT-4o’s responses over those of GPT-4.5 in terms of writing quality. This finding highlights the inherent subjectivity involved in evaluating prose. What one person considers to be high-quality writing, another might find less appealing. It also suggests that skillful prompt engineering – the art of crafting effective input prompts – might be able to elicit comparable quality from smaller, more efficient models like GPT-4o.

Karpathy acknowledged the ambiguity of the survey results, suggesting several possible explanations. It’s possible that the “high-taste” testers, those with a particularly refined sense of writing quality, might be perceiving subtle structural improvements that are missed by the average user. Alternatively, the specific examples used in the survey might not have been ideal for showcasing GPT-4.5’s strengths. Or, the differences in quality might simply be too subtle to be reliably discerned in a small sample size. The debate underscores the challenges of objectively evaluating subjective qualities like writing style and creativity.

The Limits of Scaling and the Future of LLMs

The release of GPT-4.5, in some ways, highlights the potential limitations of simply scaling up models trained on massive datasets. Ilya Sutskever, another OpenAI co-founder and former chief scientist, famously stated at NeurIPS 2024 that “pre-training as we know it will unquestionably end… We’ve achieved peak data and there’ll be no more. We have to deal with the data that we have. There’s only one internet.” This statement reflects the growing recognition that simply increasing the size of models and the amount of training data may not be a sustainable path to achieving significantly more capable AI systems.

The diminishing returns observed with GPT-4.5, where the performance gains did not fully justify the increased cost and scale, serve as evidence of the challenges of scaling general-purpose models trained primarily on internet data and fine-tuned for alignment through reinforcement learning from human feedback (RLHF). RLHF is a technique where human feedback is used to train a reward model, which is then used to guide the training of the language model.

The next frontier for large language models appears to be test-time scaling (also known as inference-time scaling). This involves training models to “think” for a longer duration during inference by generating chain-of-thought (CoT) tokens. Test-time scaling enhances a model’s ability to tackle complex reasoning problems and has been a key factor in the success of models like o1 and R1. By allowing the model to generate intermediate reasoning steps, it can effectively break down complex problems into smaller, more manageable sub-problems, leading to improved performance.

Not a Failure, but a Foundation

While GPT-4.5 might not be the optimal choice for every task, and while it may not represent a dramatic leap forward in all areas, it’s crucial to recognize its potential role as a foundational element for future advancements. A robust knowledge base is essential for the development of more sophisticated reasoning models. You can’t reason effectively without a solid foundation of knowledge to draw upon.

Even if GPT-4.5 itself doesn’t become the go-to model for most applications, it can serve as a crucial building block for subsequent reasoning models. It’s even plausible that it’s already being utilized within models like o3, providing the underlying knowledge base upon which more specialized reasoning capabilities are built.

As Mark Chen, OpenAI’s Chief Research Officer, explained, “You need knowledge to build reasoning on top of. A model can’t go in blind and just learn reasoning from scratch. So we find these two paradigms to be fairly complimentary, and we think they have feedback loops on each other.” This statement highlights the interconnectedness of knowledge and reasoning in the development of advanced AI systems.

The development of GPT-4.5, therefore, represents not a dead end or a failure, but a strategic step in the ongoing evolution of large language models. It’s a testament to the iterative nature of AI research, where each step, even if seemingly underwhelming in isolation, contributes to the broader progress towards more capable and versatile AI systems. The focus is now shifting towards leveraging this strong knowledge foundation to build models that can not only recall information but also reason and solve problems with unprecedented effectiveness.

The journey towards truly intelligent AI continues, and GPT-4.5, despite its mixed reception, plays a significant part in that journey. The emphasis is now not just on how much a model knows, but on how well it can use that knowledge. This is the core challenge that the AI community is currently grappling with, and GPT-4.5, while not a perfect solution, provides valuable insights and a solid foundation for future breakthroughs. The path forward involves a combination of approaches: refining existing techniques like RLHF and chain-of-thought prompting, exploring new model architectures, and developing more sophisticated methods for training and evaluation. The ultimate goal remains the same: to create AI systems that can not only understand and generate human language but also reason, learn, and adapt in ways that were once considered the exclusive domain of human intelligence. The development of GPT-4.5, with its focus on knowledge and instruction following, represents a significant, albeit nuanced, contribution to this ongoing endeavor.